Lenders use the guideline that a borrower's monthly repayment burden should not be more than 20% of the borrower's take-home pay.

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This is a common guideline that lenders use when determining whether a borrower can afford to repay a loan. It helps ensure that the borrower has enough income to cover their living expenses while also making their loan payments. However, some lenders may use different guidelines or criteria, so it's important for borrowers to check with their specific lender to understand their repayment requirements.

Lenders Use the Guideline That a Borrower's Monthly Repayment Burden