Sentences with phrase «because of your debt ratio»

Finally, maybe because of debt ratio guidelines, or where your homes appraised value came in, it may make a lot of sense to select a no closing cost loan to make the deal work.

Maxing out your credit cards is damaging to your credit score because of the debt ratios you maintain with other accounts so make every effort to eliminate balances as fast as possible and definitely pay more than the minimum each month.

Not exact matches

Morneau can risk expanding the deficit because the federal government's debt - to - GDP ratio is a relatively paltry 30 %, about half of what it was in the 1990s when Canada faced a fiscal crisis.

Private equity was tempted to launch a takeover blitz at a debt - to - cashflow ratio of 5.4 because debt was made so cheap.

Example: A person with a monthly income of $ 4,000 and total monthly debts of $ 1,500 would have a DTI ratio of 37.5 % (because 1500 / 4000 =.375, or 37.5 %).

While the current price / peak - earnings multiple is already at an elevated level above 18, what I'll call the «P / E equivalent» multiples on other fundamentals are: 21 on the basis of book values, nearly 23 on the basis of enterprise value / EBITDA (which factors in the increasing share of debt on corporate balance sheets), over 25 on the basis of revenues, and 29 on the basis of dividends (largely because dividend payout ratios remain relatively low even on the basis of normalized earnings).

This is because of something called your credit utilization ratio, or the amount of your debt on one card compared to that card's spending limit.

That's because it exceeded the benchmark debt - to - GDP ratio of 100 percent.

Because the surveys are designed to identify a consensus, there are no boxes to check for extraneous semi-hard factors like debt / GDP ratios or, in the soft extreme, all those forces that are examined in the comparatively new and, to most economists, antithetical art / science of «Behavioral Economics.»

A false sense of security has prevailed over the last few years because the consumer debt service ratio (denoted by the red line) collapsed from 6 % to 5 % after the onset of the last recession, as bad debts were written off and interest rates collapsed.

The Finance Minister's claim that the public debt to GDP ratio has declined to 63 % debt to GDP ratio is plain wrong because had he used the debt stock at the end of Q1 2016 and divided it by the GDP result realised in Q1 2016 he would have obtained 71 % in current 2016 dollars.

The former Finance Minister is therefore «not sure Ghana will have a reduction in the debt to GDP ratio [because] it looks like it is going to go higher,» she stated projecting it «to hit 76 % by the end of the year».

On the other hand, transferring credit card debt to an installment loan can improve your credit score because it lowers your credit utilization ratio and diversifies the types of credit on your credit report.

This is because of your credit to debt ratio.

And because all of the existing debts are gone, the debt - to - income ratio is improved too.

If you have a challenge in qualifying for a loan — such as a low credit score, a spotty job history, a high debt - to - income ratio, income from self - employment or a side business — you may want to discuss your options with multiple lenders, because you'll find more variation in the cost of the loan.

Paying off credit card debt with a personal loan or home equity loan can improve your score because it reduces the utilization ratio of your revolving accounts.

Most mortgage lenders require a debt - to - income ratio of 43 % or less because they want to know you can afford to pay the mortgage by yourself.

If a lender says your loan application was denied because of your debt - to - income ratio, that just means your income from your job isn't high enough to offset your debts — from college loans, credit cards, or elsewhere.

After a couple months my credit scored dropped back to 786 because of the new higher debt ratio but I don't care because it will go backup when I'm done with THEIR money.

FHA loans are much more suited to this type of home buyers because they allow for higher debt - to - income ratios, less than perfect credit history and lower down payment.

You may improve your credit score by moving revolving credit card debt to an installment loan, because you lower your credit utilization ratio and diversify your types of debt.

Because lenders consider your cosigner's creditworthiness and information when making a loan decision, you'll want a cosigner who has good to excellent credit history, several years or more of credit history, stable income, good employment history and a low debt - to - income ratio.

Eventually, securing loan approval with improved terms is certain, and because the amount of existing debt is lowered, the debt - to - income ratio is improved too.

Because all of this lending is really driven off of ratios, the amount of debt to the value of the property.

We both have excellent credit scores but low incomes so neither one of us qualifies for refinancing because of our debt - to - income ratios.

Because your credit score is determined, in part, by the amount of credit card debt you carry compared with your credit card limits (the «credit utilization ratio»), transferring a balance to a new card can help you pay off debt and improve your credit score.

The debt ratio is shown in decimal format because it calculates total liabilities as a percentage of total assets.

Now my debt to available credit ratio stinks, and I can't get approved for a refinance on my mortgage because of my credit score.

I am bullish on gold long - term because the central bankers of some of the world's largest economies are going to require the continued use of quantitative easing in order to get their debt to GDP ratios to sustainable levels.

A survey by the Federal Reserve said that 23.4 % of rejected loan applications happen because home buyers failed the debt - to - income ratio test.

Like if you look at the household debt to income ratio, it's at 164 % and then main reason for that is because of mortgage debt.

«There are lots of programs available to serve different needs, but, typically, if a loan requires a higher credit score, it's because the lender is taking a chance on you in some other way, such as allowing a lower down payment or a higher debt - to - income ratio,» Pataky said.

Although the practice may result in a lower credit score temporarily, your debt to income ratio should improve over the course of the program because each debt is paid off one by one.

«The looser debt - to - income ratio is a big deal, because it's easy for a couple with two cars, a couple of credit cards and student loans to have a lot of debt,» Sullivan said.

All subprime loans function similarly because they're a loan for those borrowers with a high risk of defaulting due to low credit scores, poor or little credit history, a high debt - to - income ratio, or other factors.

Because borrowers with better credit scores and debt - to - income ratios tend to be lower risk, they are offered the lowest interest rates — currently about 4 % for a 30 - year fixed rate mortgage — which can save tens of thousands of dollars over the life of loan.

From the perspective of companies, it is therefore important to measure the debt - to - equity ratio because capital structure is one of the fundamental considerations in financial management.

That's because when mortgage lenders calculate your ability to take on new debts, they take into account your monthly payments on pre-existing debt in the calculation of your back - end ratio.

However, this kind of loan might affect your mortgage eligibility because it's another required monthly payment, which changes your debt - to - income ratio.

This can cause an inconsistency in the measurement of the debt - equity ratio because equity will usually be understated relative to debt where book values are used.

Liabilities that are not related to financing activities of an organization (e.g. accrued liabilities, trade payables, tax liabilities, etc.) may be excluded from the calculation of debt because they usually do not affect the financial risk of an organization significantly and any liquidity risk that such liabilities may pose can more effectively be measured under liquidity ratios.

For those of you who find that your debt - to - limit ratio is much higher because you either charge too much or you only have one or two cards with lower limits, or both, you need to do something — because your credit scores are suffering.

Your ratio goes up each time you cancel a card because doing so lowers the maximum amount of borrowing room you have in comparison to your debts.

You may have been turned down because of your income, but more likely it was because of a high debt ratio or low credit score.

That's because financial institutions generally base their test of income sufficiency on two ratios (known as the «gross debt service» ratio and the «total debt service» ratio) that don't take into account child - care costs.

I have $ 58,000 in student loan debt I am on an income based repayment plan I make $ 60,000 a year I have a 743 credit score I pay $ 949 monthly for rent I have $ 19,000 in credit card limit and only use $ 1000 of it and pay it off monthly but because of my debt to income ratio I can't get a loan for a mortgage please help with suggestions

«Some people have big debt - to - income ratios because of big mortgages, but they can handle it because they're unbelievably frugal in other areas of their life,» notes Janet Freedman, a fee - only planner with Toronto - based Finance Matters.

my debt to income ratio will remain the same because the payment is calculated as a % of income.

This is because lenders take into account your debt - to - income (or DTI) ratio when calculating the size of the loan they're willing to offer you, and your interest rate.