What is debt-to-income ratio and how does it affect you? You don't need a finance degree to have money smarts. Understanding a few simple terms can help you lead your best financial life. One of those ...

To calculate your debt-to-income ratio, add up your monthly debt payments and divide this figure by your gross monthly income. While every lender and product will have different ranges, a DTI of 50 ...

We independently evaluate all of our recommendations. If you click on links we provide, we may receive compensation. Lars Peterson joined Investopedia in 2023 as a senior editor of financial product ...