Debt Service Ratio(DSR) is a more robust indicator than DTI, which is calculated only for interest repayment on existing loans, whereas DSR is calculated for principal and interest repayment. The baseline ratio is 40% when an indivisible DSR is applied.
- Bullet Repayment : The principal will be repaid in full at maturity and only interest will be paid before then.
- Equal Principal Payment : Repay the principal at the same rate every month. Interest is paid as much as the remaining balance, so the principal is reduced as much as the principal is repaid. That is, the payment amount decreases over time.
- Equal Amortization : The total interest and principal are divided by the period and the same amount is paid equally every month.
CautionDetail calculation methods may vary among financial companies. The exact percentage should be checked with each financial company's system.
|Mortgage||Indivisual Mortgage||Full Amortization||
Actual repayment after amortization commencement
|Some Amortization||Actual repayment after amortization commencement + maturity repayment amount / (loan period – grace period)|
|Bullet Repayment||Loan Amount / Loan Period (up to 10 years)|
|Interim/Moving Loan||Irrelevant||Loan Amount / 25 Years|
|Lease Loan||Irrelevant||not included|
|Irrelevant||Loan Amount / 4 Years||not included|
|Irrelevant||Loan Amount / 10 Years|
|Credit Loan||Irrelevant||Loan Amount / 7 Years|
|Other Loans||Irrelevant||Actual repayment over the next 1 year|
|Deposits Collateral Loan
Securities Collateral Loan
|Irrelevant||Loan Amount / 8 Years|