Use of
- Avoid paying taxes. $500,000.
- If you have an existing loan, enter the total amount (loan + interest) to be paid back for one year; otherwise, leave it as 0 or empty.
- Enter the amount of the new loan you want to receive, the rate of retirement (%) and the period (years).
- If you press the Calculate button, you will see the DSR ratio, the monthly repayment of the new loan, and the regulatory ratio.
DSR calculation principle
The DSR (Debt Service Ratio) Amount of reimbursement of annual reimbursement.It is .
DSR = (Annual Rate of Existing Loans + Annual Rate of New Loans) ÷ Income × 100
The monthly repayment of the new loan is official. P×r(1+r)ⁿ ÷ ((1+r)ⁿ−1)Here, P is the loan amount, r is the monthly rate (retirement rate ÷ 12 ÷ 100), n is the total number of months (years × 12). If the interest rate is 0%, the monthly repayment is the value divided by the number of months. The annual repayment is the monthly repayment amount × 12.
| by DSR | judged |
|---|---|
| by 40% | Banking Regulations – Loans available. |
| 40% above ~ 50% below | Excessive regulation of banking rights — 2 scope of banking rights review |
| 50 percent over. | Excess of regulatory standards — Lower borrowing limit, higher risk of rejection |
For example, if a person with an annual income of 5,000 thousand yuan borrowed 4 million yuan annually without existing loans, 30 years at the same rate, the monthly repayment amount is about 143 thousand yuan, and the annual repayment amount is about 1,718 thousand yuan, the DSR is about 34.4% and is within the 40% base of bankroll.
This calculator is a basic DSR ratio that assumes the repayment of equity. The actual bank assessment calculates by applying the annual ratio calculation method (credit rate expiration, interest-only loans, etc.) and the stress rate, so the results may vary.
Knowing good information.
DSR regulationsThe DSR regulation applies to borrowers with a total loan amount exceeding 1 million yuan, bank credits (1 fund) are 40%, 2 funds (savings bank, card, capital, insurance, etc.) are 50%.
Difference with DTI.DTI (Total Rate of Repayment) only calculates the “interest” of other loans in addition to the initial amount of the home loan, but the DSR summarizes all the “interest+interest” of all loans. The DSR is much stricter, so the Rate of Repayment is included in the Rate of Repayment of Credit Loans, Cardons and Car Loans, and the actual borrowing limit is actually determined by the DSR.
Stressed DSRThe stress DSR scheme is being implemented to calculate the DSR in addition to the current interest rate (stress rate) that reflects the risk of future interest rate increases. The loan limit is lower for the same income because the repayment is calculated at a rate higher than the actual interest rate. This calculator uses the entered interest rate as it is, so it is safe to see that if you are planning a volatility loan, the actual limit may be smaller than this result.
To lower the DSR, there are ways to increase your income certification (confirm cumulative income), repay existing loans, or keep loans longer and reduce your annual premiums.
Frequently asked questions.
Does the DSR regulation apply to all loans?
DSR regulations are basically applicable to borrowers with a total loan amount exceeding £100 million. The regulatory rate is 40 per cent in bank units and 50 per cent in two funds (spare bank, card, capital, etc.). Some loans, such as tax-funded loans, are excluded from the DSR regulation or may be subject to separate criteria, so check with the financial institution for detailed scope.
What is the difference between DSR and DTI?
The DTI (Total Loan Repayment Rate) compares to income only by adding interest on other loans to the home loan premiums, but the DSR (Total Loan Repayment Rate) compares to the sum of all loans and interest. The DSR is a stricter indicator than the DTI, and if the same conditions are met, the DSR is higher.
What is Stress DSR?
Stress DSR is a scheme for calculating the stress rate (DSR) in addition to the current interest rate (stress rate) that reflects the prospective rise in interest rates for volatile interest rate loans, etc. It calculates the repayment rate at a rate higher than the actual applicable interest rate and therefore reduces the loan limit. This calculator is close to the basic DSR, which uses the entered interest rate as it is, and does not reflect the stress rate.
Why is the calculation result different from the DSR provided by the bank?
The actual bank’s DSR rate varies by type of loan and the way the annual prime is paid. For example, credit loans and miners calculate the prime to a fixed due date irrespective of the actual repayment schedule, and some loans reflect only interest rates. This calculator is a near value that assumes the repayment of the prime balance, so check the exact number based on the results of a bank review.