How To Calculate Your Debt To Income Ratio & One Really Important Thing To Watch Out For

Описание: Have you ever heard the term "debt to income ratio?" It's really important when it comes to your finances and we'll show you how to calculate your debt to income ratio so you're prepared!

First, what is debt your debt to income ratio? It’s the ratio of your debt compared to your income. The lower the number the better because you have a higher ratio of income compared to debt. If your number is high, lenders wont lend you money because they may think you wont be able to pay back your debt.

Now that you know, you might be wondering, "what is a good debt to income ratio?"

It depends what you want to do. Generally, a DTI of less than 36% is considered good but that might not be good enough in certain situations. For example, a good debt to income ratio for a mortgage is stricter than the debt to income ratio for a car loan or credit card.

There's also a few REALLY IMPORTANT things you need to watch out for when using your debt to income ratio to calculate your personal finances and managing your money--and we'll explain everything about your debt to income ratio in the video!

#finacialliteracy #creditscore #personalfinance

See How RentReporters Builds Your Credit Score
https://www.rentreporters.com/how-we-...

Success Stories From Our Customers
https://www.rentreporters.com/how-we-...

Read The Latest On Our Blog
https://www.rentreporters.com/blog/

Sign Up For Our Affiliate Program
https://www.rentreporters.com/partners/