Recording Loans

farmgirlkent69 · ‎September 09, 2020

Hi everyone.

I have just set up a bank loan and using the help section I have done this through the chart of accounts, did it as a non current liability. I then went into the journal and did a credit to show the loan and then it told me to select my bank on the second line and put the same loan amount in the debit column. The loan was for say £50k.

However when I have gone back into my chart of accounts and looked at the liability it is showing double what we originally borrowed..ie. instead of £50k its now showing £100K. The loan doesn't start its repayments until next year but how do I get it to show the right amount of £50k.

GeorgiaC · ‎September 09, 2020

Hi farmgirlkent69,

Thanks for your detailed post, it seems like the loan has been recorded twice which is why you're seeing double the amount.

If you entered an 'unpaid balance' of the loan amount when setting up the account, this would have created an opening balance journal.

To check the transactions which are posting to this account, please go to the Chart of Accounts > Select 'Account history' in the action column and view the register. Once you've located the duplicated transaction, you can delete this by clicking into the transaction to expand and then select 'Delete'.

Please get back to us below if this does not fix. :smiling_face_with_smiling_eyes:

View solution in original post

GeorgiaC · ‎September 09, 2020

Hi farmgirlkent69,

Thanks for your detailed post, it seems like the loan has been recorded twice which is why you're seeing double the amount.

If you entered an 'unpaid balance' of the loan amount when setting up the account, this would have created an opening balance journal.

To check the transactions which are posting to this account, please go to the Chart of Accounts > Select 'Account history' in the action column and view the register. Once you've located the duplicated transaction, you can delete this by clicking into the transaction to expand and then select 'Delete'.

Please get back to us below if this does not fix. :smiling_face_with_smiling_eyes:

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