DSR Calculator

Debt service against your income, calculated instantly

Annual income

Existing debt

Existing loans' total annual principal + interest

New loan

Loan principal

Annual rate (%)

Loan term (years)

Stress add-on (%p)

The stress DSR add-on depends on loan type, rate type, region and date. Enter the figure your bank gives (0 = none). The monthly payment uses the actual rate; DSR uses the rate plus the add-on.

Combined DSR

0%40%50%70%+

New loan monthly payment0

New loan annual P&I (for DSR)0

Total annual debt service0

Bank ceiling (total loans over 100M KRW)40%

Non-bank lender ceiling50%

This is an estimate. The new loan is amortized with equal payments over the term you enter. Real DSR uses prescribed notional maturities for credit loans and overdraft lines, and stress rates and income recognition vary by lender and over time. 40% and 50% are the basic thresholds of Korea's borrower-level DSR rule. Confirm your real limit with the bank.

How it is calculated

DSR = (existing annual debt service + new loan annual debt service) ÷ annual income × 100. The new loan's monthly payment uses the level-payment (amortising) formula, multiplied by 12; at a 0% rate the principal is simply divided by the number of months. If you enter a stress add-on, the monthly payment is still shown at the actual rate, but the new loan's annual payment used in DSR is recalculated at rate + add-on. The result shows DSR to one decimal place along with the new loan's monthly payment, its annual total and the overall annual total, coloured green up to 40%, yellow up to 50% and red above. It opens with income 60,000,000 KRW, existing debt service 6,000,000, and 300,000,000 at 4.2% over 30 years, giving a DSR of about 39.3%. Adding a 1.5-point stress add-on to the same inputs raises the new loan's annual payment from about 17.60 million to 20.89 million KRW and DSR to about 44.8%. The 1.5 points is only an example; use the figure your bank gives.

Monthly payment = principal × r × (1+r)ⁿ ÷ ((1+r)ⁿ − 1), where r = annual rate ÷ 12 and n = months

Example: 300,000,000 KRW at 4% over 30 years → about 1,432,000 a month → 17,187,000 a year

With income 60,000,000 and existing debt service 3,000,000: DSR = (3,000,000 + 17,187,000) ÷ 60,000,000 = 33.6%

Enter the bank's stress add-on (points) and DSR is computed at rate + add-on

40% or below passes the bank rule; 50% or below the non-bank rule

The bar shows your position against marks at 0%, 40%, 50% and 70%+, and stops at the end beyond 70%

Things to know

DSR includes principal, not just interest, so shorter terms raise annual payments and DSR. A 30-year term allows far more than a 10-year one.

Loans with short or open-ended terms, such as unsecured credit, may be assessed on a prescribed term rather than the actual one, so a bank's figure can be higher than this one. The method changes with policy.

Stress DSR adds a premium to the actual rate. The premium depends on loan type (mortgage or credit), rate type (variable, hybrid, periodic), whether the property is in the capital region and the phase in force, so this calculator has no default (0). Enter the figure your bank gives.

Income is pre-tax: the withholding statement for employees, the income certificate for the self-employed.

The existing-loan box wants what you actually repay in a year, principal plus interest, not the outstanding balance. Overdraft lines are assessed differently by each bank, so ask.

You can see at once how a longer term lowers DSR: for 300,000,000 at 4.2%, moving from 30 to 40 years cuts the new annual payment from about 17,600,000 to 15,500,000.

Taken over 10 years, the same loan costs over 36,000,000 a year, which alone pushes DSR above 60% on a 60,000,000 income.

Frequently asked questions

How does DSR differ from DTI?

DTI counts mortgage principal and interest but only the interest on other loans; DSR counts principal and interest on every loan, so it is stricter.

Does exceeding 40% mean I can't borrow?

Borrowers with more than 100 million KRW of total loans generally cannot get new bank loans that push DSR above 40%. Some loans, such as jeonse loans and policy loans, are exempt, and non-bank lenders use 50%. Coverage and exemptions change with policy.

What is stress DSR?

A rule that computes DSR at the actual rate plus an add-on reflecting possible future rate rises. Variable-rate loans get a larger add-on. This calculator applies whatever you enter in the add-on field; the default is 0.

Are any loans excluded from DSR?

Jeonse deposit loans, small unsecured loans, policy microfinance products and construction-stage loans are often excluded. The scope and amount thresholds change over time, so confirm with your lender.

Who does the 40% rule apply to?

The basic framework applies 40% at banks and 50% at non-bank lenders to borrowers whose total loans exceed a set size, and this calculator uses those two lines. The threshold and details can change with Korean financial policy.

Does this result fix my loan limit?

No. Banks apply their own income recognition, stress rates and the real repayment terms of existing loans. This is a rough check before applying.

Regulatory ratios and methods change with financial policy. Actual availability and limits follow the lender's review.

What this tool does

How it is calculated

Things to know

Frequently asked questions