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DTI calculation

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Post Posted: Thu Nov 24, 2011 9:23 pm    Post subject: DTI calculation
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Hello there. Can anyone help me know that if my cards are all at a $0 balance, will they use a 0 for that part of the DTI calculation or use the "minimum payment" for that?
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Post Posted: Thu Nov 24, 2011 9:51 pm    Post subject:
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Hi Guest!

Welcome to forums!

As far as I know, the creditors/lenders will use $0 while calculating your DTI. They won't use the minimum payment while calculating the debt to income ratio.

Feel free to ask if you've further queries.

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Post Posted: Fri Nov 25, 2011 10:11 am    Post subject: DTI
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A zero is used for revolving accounts with no balance to calculate DTI
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Post Posted: Mon Nov 28, 2011 10:11 am    Post subject:
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If you have a $0 balance on all your credit cards, then your minimum payment should be $0 too.
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Post Posted: Tue Nov 29, 2011 6:26 am    Post subject:
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Is the $0 balance being presumed since you pay off credit card balance is paid in full each month? There is a timing differance in what's shown on the credit report. If the credit report shows a balance (i.e., you haven't yet been billed and therefore have not paid off), the minimum balance will be used. Exception is mandatory PIF card, e.g. some American Express cards.
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Post Posted: Tue Nov 29, 2011 10:06 pm    Post subject:
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Welcome Guest,

As far as I know, as you don't owe any balance amount on your credit cards and as you pay off the debts in full, the lender will consider $0 while calculating the DTI.

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