Financial Ratio Calculator
Financial Ratio Calculator
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QUALIFICATION

Debt-to-Income (DTI) & FOIR Calculator

Your Debt-to-Income (DTI) ratio compares your total monthly debt payments to your gross monthly income. Lenders use it as a primary metric to assess creditworthiness and repayment risk.

Financial Calculator
Input Parameters
Click Calculate when ready
e.g. Rs 1,20,000
Rs
e.g. Rs 30,000
Rs
e.g. Rs 10,000
Rs
e.g. Rs 5,000
Rs
Calculation Results
Enter your values and click Calculate.

Provide the input parameters on the left to compute the official financial result and metrics.

DECISION MODELINGSENSITIVITY ANALYSIS

Sensitivity Analysis

Evaluate how variations in key operational drivers impact Debt-to-Income (DTI %).

Varying Monthly Gross Income
Calculate the base model above to view scenario sensitivity rows.

Formula & Methodology

DTI (%) = (Total Monthly Debt Obligations / Gross Monthly Income) * 100
Total Debt
Monthly Debt Payments

Sum of all home loan, car loan, personal loan, and credit card monthly payments.

Income
Gross Monthly Income

Total pre-tax monthly household earnings.

Practical Worked Example

A borrower with Rs 1,20,000 monthly income pays Rs 30,000 rent/mortgage, Rs 10,000 auto loan, and Rs 5,000 personal loan.

01.Total monthly debt payments = Rs 30,000 + Rs 10,000 + Rs 5,000 = Rs 45,000.
02.DTI Ratio = (Rs 45,000 / Rs 1,20,000) × 100 = 37.5%.
37.5% DTI (Good Eligibility)A 37.5% DTI is within normal bank qualification parameters (under 43-45%).

Interpretation & Industry Benchmarks

DTI measures solvency risk and the probability of borrower default during economic downturns.

DTI < 36%Prime / Healthy

Easily qualifies for prime mortgage and loan rates.

DTI 36–45%Acceptable

Standard qualification threshold for most retail banks.

DTI > 50%High Risk

May be rejected or require co-signers and collateral.

Industry Nuance: In India, Fixed Obligation to Income Ratio (FOIR) is used interchangeably with DTI.

Analytical Limitations

  • Does not include variable living expenses such as food, utilities, and healthcare.

Frequently Asked Questions

What is a good DTI ratio for a home loan?

A total DTI below 36% to 40% is ideal for getting the lowest interest rates and rapid loan approval.

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Disclaimer: For educational and analytical modeling purposes only. Does not constitute financial or investment advice.