Back-end ratio,BER,back-end debt-to-income ratio,BEDTI,BEDTIR
Formula or Equation
| BER | back-end ratio,BER,back-end debt-to-income ratio,BEDTI,BEDTIR |
| MPI | mortgage principal and interest,MPI,MPAI |
| MIP | mortgage insurance premium,MIP |
| HIP | hazard insurance premium,HIP |
| PT | property taxes,PT |
| HAD | homeowners' association dues,HAD |
| CCP | credit card payments,CCP |
| CLP | car loan payments,CLP |
| SLP | student loan payments,SLP |
| CSP | child support payments,CSP |
| AP | alimony payments,AP |
| LJP | legal judgments payments,LJP |
| OF | other fee,OF |
| GMI | gross monthly income,GMI |
Formula or Equation Note
Back-end ratio is the percentage of income that goes toward paying all recurring debt payments, including those covered by front-end ratio, and other debts such as credit card payments, car loan payments, student loan payments, child support payments, alimony payments, and legal judgments. Back-end ration should not be more than 36% for a new loan.
