Good (10% or less)
Your debt is currently at a manageable level. You will most likely have some money left over for saving after paying your bills. Creditors usually favor lower Debt2Income ratio.
Approaching Danger (10% TO 30%)
You're managing your debt adequately, but you should consider lowering your DTI. This could help manage your expenses properly. If you're looking to borrow, keep in mind that lenders may ask for additional eligibility factors.
Take action immediately (30% or more)
With more than half your income before taxes going toward debt payments, you may not have much money left to save, spend, or handle unexpected expenses. With this DTI ratio, lenders may limit your borrowing options.