Turn on suggestions
Auto-suggest helps you quickly narrow down your search results by suggesting possible matches as you type.
Showing results for
I am using 2019 Desktop non profit premier version of Quickbooks. We renewed the loan last month and the difference between what our loan was and what it is now is $5,000. Example: old loan payoff $298,000 new loan is $293,000. How will I close the old loan and transfer the new amount to a new loan?
Solved! Go to Solution.
Hello, @kimbercooley.
To close an old loan in your QuickBooks Desktop, you need to set up a clearing account. It’s an account you use to move money from one account to another.
To set up a clearing account, here’s how.
You can refer to this article for additional information. Set up a clearing account.
I also recommend you contact your accountant for guidelines regarding your concern.
Please feel free if you have additional questions, I’ll be glad to help you. Take care!
Hello, @kimbercooley.
To close an old loan in your QuickBooks Desktop, you need to set up a clearing account. It’s an account you use to move money from one account to another.
To set up a clearing account, here’s how.
You can refer to this article for additional information. Set up a clearing account.
I also recommend you contact your accountant for guidelines regarding your concern.
Please feel free if you have additional questions, I’ll be glad to help you. Take care!
I have set up the Clearing account. When closing the old account, where wil put the excess $5,000 (as the difference between the balance of the old account and the opening balance of the new), we had $799.00 in interest and fees out of the $5K. Will I just adjust the remaining and if so, where should I adjust it to?
Then to transfer the remaining balance from the old to the new account, will I transfer using General Journal?
I have just not set up an account like this before. Thanks for the help.
Kim
Thanks for reaching back out, @kimbercooley.
For the best advice, I recommend reaching out to your accountant. Rest assured, they can help you organize your transactions and possibly make another account for the remaining balance if that's the path that needs to be taken.
Let me know if you have any other questions. Have a great rest of your week.
Today, I paid off a bank loan by refinancing rental properties with a new bank. I have the new bank set up with 0 balance. how do i show the new loan and pay off the old loan?
Let's pay off the old bank loan using the new account, davidboll.
You'll first need to transfer the balance from the old bank account to the new one using a journal entry. To know what accounts to debit and credit, it's best to consult with your accountant for specific instructions.
Once done, you can then track and record your loan entries in QuickBooks Desktop.
Keep me posted if you need anything else about
You have clicked a link to a site outside of the QuickBooks or ProFile Communities. By clicking "Continue", you will leave the community and be taken to that site instead.
For more information visit our Security Center or to report suspicious websites you can contact us here