Loans divided by total liabilities is the ratio of all liabilities a person or institution has to the loans it has. This ratio is one of the important indicators to measure the repayment ability of an individual or institution. If the value of loans divided by total liabilities is high, it indicates that loans account for a larger proportion of liabilities and the ability to repay may need to be strengthened to avoid delinquency or default.

Loans divided by total liabilities is an important indicator for banks, credit companies and other financial institutions to measure the borrower's repayment ability. At the time of lending, these institutions calculate the loan divided by total liabilities to determine the borrower's credit rating and creditworthiness assessment. Therefore, in order to successfully obtain a higher loan amount, it is crucial to have a strong repayment ability.

In personal finance, loans divided by total liabilities is also one of the important reference indicators. If the loan divided by the total debt is too high, it indicates that the individual is under greater debt pressure and should take measures to reduce debt and increase disposable income. At the same time, improving repayment ability is also key. You can increase your income level through starting a business, getting promoted and raising salary, etc., and further reduce the value of loans divided by total liabilities.