Debt-to-income ratio (DTI)
The debt-to-income ratio (DTI) compares a borrower's total debt repayments to their income, usually as a percentage. It is a quick affordability signal: a higher ratio means more of someone's income is already committed to debt, leaving less headroom for new borrowing.
DTI can be calculated on gross or net income and may count all credit commitments or only unsecured ones, so definitions vary between lenders. It is a useful screen but a blunt one, because it ignores the level of essential living costs.
A fuller affordability view combines DTI with verified disposable income and signs of financial stress.
Credit Canary builds debt-to-income ratio into one platform for UK lenders, with the data and decisioning behind it.
Affordability calculatorSee debt-to-income ratio in a working platform
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