Is EMI affordability the wrong metric for deciding whether to take a loan?

I was helping a friend evaluate a personal loan recently and noticed something interesting.

Most loan calculators answer:

"Can you afford this EMI?"

But very few answer:

"How much financial stress does this add to your life?"

For example:

Person A

Income: ₹1.5L/month
Home loan EMI: ₹45k

Person B

Income: ₹60k/month
3 BNPLs + personal loan
Total EMI: ₹18k

Traditional affordability checks would probably say Person B is safer because the EMI amount is much lower.

But intuitively, Person B seems more fragile because:

• Less income buffer
• Multiple repayment dates
• Mostly unsecured debt
• Less flexibility if income drops

I'm curious how people here think about this.

When evaluating a new loan, what metrics do you actually look at?

• EMI as % of income?
• Emergency fund?
• Total outstanding debt?
• Something else?

Would love to hear how others approach loan decisions and what has worked (or not worked) for you.