Affordability Calculator Guidelines
This document explains how to use the standalone affordability calculator. The affordability
calculator provides the potential loan that Abbey will lend based upon the information
provided (subject to full credit score).
Once accessed, the spreadsheet will open on the ‘Types of Income’ input screen:
It is imperative that the correct details are input in order to achieve the most accurate
results. The level of information that needs to be entered is as follows:
• Gross Basic Annual Income – by applicant
• Gross Regular Other Annual Income – by applicant. This is further segmented into
income types that fall into this category.
• Gross Non-Regular Other Annual Income – by applicant. This is further segmented
into income types that fall into this category.
• Total Gross Non-Taxable Annual Income. This is further segmented into income types
that fall into this category.
• Monthly Income Deductions from Employer. There are certain deductions that come
direct from an individual’s salary, such as Pension, Childcare Vouchers and Student
Loan contributions. When entered here the non-taxable elements will not be taxed.
The student loan contribution is calculated using the standard methodology as
devised by the Student Loans Company.
Once the Types of Income screen has been completed, clicking on “Go to Calculator” will take
you to another input screen:
Again, it is imperative that the correct details are input to achieve the most accurate results.
The information that needs to be entered is as follows:
• Number of applicants, including the number of financially dependant adults
• Number of financially dependant children
• Loan Amount (desired)
• Loan Term (Years)
• Method of Repayment – dropdown list - Repayment or Interest Only
• Abbey Standard Variable Rate*
• Monthly Credit commitments – by applicant
• Other Regular Commitments – by applicant (e.g. Maintenance, Education, Life
The types of income filled in previously will