FOIR for Personal Loans — Fixed Obligation to Income Ratio
How lenders use FOIR to cap your loan, typical limits of 40% – 55%, and how to lower it.
Updated 27 September 2026 · 8 lenders trackedWhat you need to know
FOIR is the share of your net monthly income that goes to fixed obligations — all EMIs, including the new loan, and often 5% of credit card limits or outstanding. Most lenders keep FOIR within about 40% – 55%, higher for high earners; SBI’s RTXC allows an EMI/NMI ratio of up to 65%.
Example
| Item | Value |
|---|---|
| Net monthly income | ₹80,000 |
| Existing EMIs | ₹10,000 (FOIR 12.5%) |
| Maximum EMI at 50% FOIR | ₹40,000 − ₹10,000 = ₹30,000 |
| Loan at 11% for 5 years | About ₹13.8 lakh |
How to lower FOIR
- Close or prepay small loans and consumer-durable EMIs first.
- Pay down credit card balances.
- Choose a longer tenure to cut the new EMI.
- Borrow a smaller amount.
Loan by income
| Net monthly income | Max EMI at 50% FOIR | Loan at 11%, 3 yrs | Loan at 11%, 5 yrs | 5 yrs with ₹10,000 existing EMI |
|---|---|---|---|---|
| ₹25,000 | ₹12,500 | ₹3,81,811 | ₹5,74,913 | ₹1,14,983 |
| ₹40,000 | ₹20,000 | ₹6,10,897 | ₹9,19,861 | ₹4,59,930 |
| ₹50,000 | ₹25,000 | ₹7,63,622 | ₹11,49,826 | ₹6,89,896 |
| ₹75,000 | ₹37,500 | ₹11,45,433 | ₹17,24,739 | ₹12,64,808 |
| ₹1,00,000 | ₹50,000 | ₹15,27,244 | ₹22,99,652 | ₹18,39,721 |
| ₹1,50,000 | ₹75,000 | ₹22,90,866 | ₹34,49,478 | ₹29,89,547 |
Estimate only. Lenders also cap the loan (e.g. SBI up to 30× net monthly income; product maximums of ₹15 lakh – ₹50 lakh) and adjust FOIR by income level and employer.
FOIR calculator
Frequently asked questions
Is rent counted in FOIR?
Most banks count only loan EMIs and card obligations, but some consider rent for affordability.
For information and comparison only. Loan terms, rates and rules change — confirm with the lender and read the Key Facts Statement before borrowing.