DSR Calculator
Enter your annual income and the annual principal+interest of all loans to compute DSR and check whether it stays within Korean lending limits.
Total salary for employees, comprehensive income for self-employed. Joint income for couples.
Sum of yearly principal+interest payments on all loans you currently service.
Annual principal+interest for the loan you are about to take. Take the monthly amount × 12 from the loan calculator.
DSR (Debt Service Ratio)
30.00%
Within the 40% limit — eligible
- Total annual P+I
- 18,000,000KRW
- DSR cap amount
- 24,000,000KRW
- Headroom
- 6,000,000KRW
- DSR 40% cap applied (24,000,000 KRW/yr)
- Within the limit. Annual headroom ≈ 6,000,000 KRW
What is DSR?
Debt Service Ratio is the share of your annual income that goes to total loan principal+interest. The Financial Supervisory Service uses DSR as a household-debt soundness control: Tier-1 banks generally cap at 40%, while Tier-2 lenders may allow up to 50%. Exceeding the cap blocks new loans and complicates renewals or top-ups on existing ones.
Formula
DSR vs DTI
DTI (Debt-To-Income) only counts mortgage P+I plus interest on other loans, so it is narrower than DSR. This calculator uses DSR — sum the P+I from credit loans, auto loans, card loans, etc. as well. DSR will run higher than DTI for the same borrower.
Frequently asked questions
- How is credit-loan P+I computed?
- Credit loans use their stated maturity. Even bullet (interest-only) credit loans are treated as 5–10 year amortizing for DSR purposes. Pre-compute that amortized P+I and enter it here.
- What about overdraft (negative balance) accounts?
- Overdraft lines are amortized over a fixed period (commonly 5 years on the full limit). A 100M KRW limit translates to about 20M+/year of P+I for DSR. Convert before entering here.
- What is stress DSR?
- Stress DSR adds a buffer (1.0–1.5pp) to floating-rate loans, phased in from 2024. To approximate it, raise the new-loan rate by the buffer in the loan calculator and re-enter the resulting P+I here.
- I'm just slightly over 40% — what now?
- Tier-1 banks usually decline; Tier-2 lenders may still go up to 50%. You can also pay down existing debt or extend the new-loan tenor to lower monthly P+I. Final eligibility is decided by the bank's underwriting.
Reference only. Models the basic DSR formula. Credit-loan amortization, stress-DSR rate buffers, jeonse-deposit partial debt recognition, and temporary regulatory exceptions need to be pre-converted by the user. Final lending eligibility is determined by the bank's underwriting.