| Under 20% | Excellent financial health | |
| 20% – 35% | Good — manageable debt | |
| 36% – 43% | Acceptable but watch it | |
| 44% – 50% | High — lenders are cautious | |
| Over 50% | Danger zone |
✦ Personal Finance
What is a good debt-to-income ratio?
Your debt-to-income ratio is the single number lenders care about most. Here is what it means, what is considered good, and how to improve it.