Your Ultimate Guide to Understanding TDSR

Jimmy Sum10 Jul, 2023Real Estate

The Total Debt Servicing Ratio (TDSR) is a financial regulation introduced by the Singapore government in 2013 to promote responsible borrowing and prevent excessive debt burdens. Implementing the TDSR has proven effective in strengthening credit underwriting practices and promoting financial prudence. By considering all loan repayments, including unsecured debts, the TDSR ensures that borrowers are granted loans they can afford, reducing the risk of financial strain and defaults.