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Debt-to-Income Ratio
(redirected from Debt To Income Ratio)

   Also found in: Acronyms, Wikipedia 0.01 sec.
Debt-to-Income Ratio
The amount of an individual or company's gross income that it spends on debt service as a percentage of its total gross income. The higher the DTI is, the less likely it is that the individual or company will be able to repay debt. As a result, financial institutions use the DTI in informing decisions on whether or not to make loans. Often, the "debt" in the term refers to all liability payments (such as employee wages, taxes, and utility bills) and not simply to debt.


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A lot of lenders concentrate on your debt to income ratio while deciding on your loan.
Debt to income ratio is classified into two types: Front ratio ?
If you are not too familiar with the debt ratio, then it could be because you know it by its other name, which is the debt to income ratio.
 
 
 
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