DSR Calculator (Korea Debt Service Ratio)
Check your Korean DSR (Debt Service Ratio) instantly. Enter income, existing debt payments, and new loan terms to see if you pass the 40%/50%/70% limit and the maximum principal available under the cap.
β©60,000,000
Annual: β©3,600,000
β©300,000,000
DSR PASS β Loan likely approvable
Projected DSR: 34.6% / Limit: 40%
Monthly New Payment
1,432,246μ
Total Monthly Payment
1,732,246μ
Current DSR
6.0%
Projected DSR
34.6%
Max new loan principal within 40% DSR limit
β©356,084,109
Diagnosis
DSR 34.6% is within the 40% limit. You have 5.4%p of additional borrowing capacity.
DSR Gauge
DSR Comparison
β’ DSR = (Annual total debt repayment / Annual income) Γ 100
β’ New loan payment is calculated by annuity method (equal payment). Actual bank calculation may differ.
β’ 2026 Korean regulation: Primary banks 40%, Secondary finance 50%. Youth/newborn special programs may apply different limits.
β’ This calculator is for reference only. Consult your bank for actual loan approval decisions.
Frequently Asked Questions
Q. How is DSR calculated?
DSR = (sum of all annual loan repayments / annual income) Γ 100. New loans use the annuity method, and all debts count β mortgage, personal loan, student loan, auto installment β not only the home loan.
Q. What is the difference between the 40% and 50% caps?
Since 2022, Korea's DSR regulation applies to the entire financial industry: primary banks at 40%, secondary lenders (savings banks, insurers, card, capital) at 50%. Exceeding the cap blocks new loans.
Q. Who qualifies for the 70% special cap?
Youth/newlywed Special Bogeumjari, Didimdol, and similar policy-finance products allow up to 70% temporarily. Eligibility depends on age, income, and property price.
Q. What goes into existing annual debt payment?
Total annual principal + interest of every ongoing loan β mortgage Γ 12, personal loan, student loan, auto installment, card loan. Jeonse (key-money lease) loans are excluded.
Q. What if I exceed the DSR cap?
Four options: reduce the new loan amount, extend the term, refinance high-rate legacy debt, or add provable income (bonus, side income).
Q. Is a jeonse loan included in DSR?
No. Jeonse (key-money lease) loans are excluded from DSR. However, normal mortgages and personal loans all count.
How to Use
Use pre-tax annual salary. Include bonuses if they are part of your annual comp package.
Sum up monthly payments Γ 12 for all ongoing loans. Exclude jeonse (key-money lease) loans.
Principal, interest rate, and term of the loan you plan to take. The tool computes the annuity-method repayment automatically.
Choose primary bank / secondary / special. You will see the cap, pass-or-fail, and the maximum principal available under the cap.
Expert Knowledge: DSR Calculator (Korea Debt Service Ratio)
DSR (Debt Service Ratio) was introduced in 2018 and extended to Korea's entire financial industry in July 2022 as a macro-prudential tool against household debt. It divides total annual loan repayments by pre-tax annual income, with a 40% cap at primary banks and 50% at secondary lenders; exceeding the cap generally blocks new loans.
Korean household debt has passed 100% of GDP, and the stress-DSR regime (adding 0.75β1.5 percentage points of stress interest) tightens effective limits further. In 2026, stress-DSR expands fully to secondary lenders, cutting effective headroom by 15β25% for the same income and loan terms versus prior years.
Certain loans stay out of the DSR calculation: jeonse (key-money lease) loans, interim construction loans, relocation loans, small personal loans under KRW 3M, and public-policy micro-finance. Youth/newlywed special mortgages and Didimdol loans allow a 70% cap but also face parallel LTV/DTI caps, so the real loan ceiling is the intersection of all three regulations.
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