I purchased a car. How do I log this purchase, the loan, the down payment, and the payments including the principle and interest?

Let me help you record your transactions in QuickBooks Online (QBO), @bonnie-sc-techse.

If you recently get a loan, you can set up a liability account to record it and its payments. This way, we can track what you owe in QuickBooks. 

Here's how:

1. Go to the Accounting menu and select Chart of Accounts.
2. Click New to create a new account.
3. From the Account Type drop-down list, choose Long Term Liabilities. Note: If you plan to pay off the loan by the end of the current fiscal year, select Other Current Liabilities instead.
4. Select Notes Payable from the Detail Type drop-down menu.
5. Give the account a relevant name, like "Loan for a car".
6. Choose when you want to start tracking your finances. In the Balance field, enter the amount in the account, and determine the as of date. Enter today's date if you want to start tracking immediately.
7. Click Save and Close.

Once done, follow these steps to record the money you got from the loan. 

1. Click + New and select Check. 
2. Add a check number if you plan to send an actual check. If you use direct withdrawal or an ETF, enter Debit or ETF in the Check # field.
3. Go to the Category Details section. 
4. On the first line, select the liability account for the loan from the Category drop-down list. Then, enter the payment amount.
5. On the second line, choose the expense account for the interest from the Category drop-down menu and enter the interest amount.
6. On additional lines, add any additional fees. Select the appropriate accounts from the Category drop-down menu.
7. When you're done, click Save and close.

For the detailed steps, you check out this article: How to record a loan in QBO.

That's all there is to it. Let me know if you have any issues during this process.  Take care and have a great day ahead!

Thank you! The only other question I have is,  how do I record the down payment? @ReymondO 

Hey there, @bonnie-sc-techse.

Thanks for following up with us. 

For more details about recording your down payment for the loan, you'll need to reach out to your accounting professional. 

Feel free to also check out our guide for recording loans in QuickBooks 

• Set up a loan in QuickBooks Online

Please know you can reach out to the Community anytime. Take care! 

Why would I have to reach out to an accountant to record a down payment. I just need to know how to put this into QBO. Why would this be so difficult to do? Down payments are a fairly common thing when getting a loan for a vehicle.