How do I record a credit card payment that was made from an account that is not linked with this quickbooks profile?

Thanks for getting in touch with the Community, sw1222.

QuickBooks allows you to record credit card payments in multiple ways so you can keep track of your expenses and maintain accurate financial reports.

The main way to record your credit card payments is by paying down a credit card.

Here's how:
 

1. Use the + New button.
2. Under Money Out or Other, go to Pay down credit card.
3. Choose your credit card you made a payment to.
4. Enter the payment amount.
5. Specify your payment date.
6. Pick the bank account you paid your card with.
7. If you made a payment with a check, choose I made a payment with a check. In the Check no. field, enter your check number, or if you paid electronically, enter the EFT number.
8. In the event you want to add notes or file attachments, click Memo and Attachments, then follow your instructions on the screen.
9. Select Save and Close.

If you'd like to review your alternative methods for recording credit card payments, you can refer to our Record your payments to credit cards article for detailed information.

I'll be here to help if there's any additional questions. Have a wonderful Wednesday!

Thank you, but this isnt specific for my question.

I need to know what to put in for Bank if the bank I paid with isnt associated with the account I am paying

I appreciate your return to this thread, SW122. Based on your initial post, it seems that the credit card has already been downloaded into the bank feeds. I'd like to share some insights regarding this matter.

If the bank account you use to pay is related to your business, you can connect it to QBO. This helps maintain accurate and detailed accounting records. Once done, you can select it when recording the payment.

On the other hand, if it's a personal account you can create an Equity Account to represent ownership, since the equity won't show in Credit card payment from dropdown. After that, you can log the payment as Journal Entry so it accurately reflects in your financial record. Here's how:

1. Click +New and select Journal Entry.
2. On the first line, select the expense account and enter the amount in the Debits column.
3. On the second line, select the Equity account that you've created.
4. Enter the same purchase amount in the Credits column.
5. Hit Save and close.
   
   

Once done let's match the journal entry and the downloaded credit card payment. This will link them together so you won't have duplicates.
 

Furthermore, I'll add this article to ensure your records match your bank statement and avoid discrepancies or errors: Reconcile an account in QuickBooks Online.

The steps above ensure that you can keep your financial transactions organized and accurate. If you need further assistance or have more questions, feel free to ask. We're here to help you every step of the way.

Can i create a bank account just for payments that will act as the equity account to avoid having to create a journal entry. I would like to use something from the drop down menu of 'credit card payments from*'

@sw1222 "Can i create a bank account just for payments that will act as the equity account to avoid having to create a journal entry."

A bank account is an asset; it would actually be directly opposed to equity in terms of balance sheets.

It's generally not advised to include personal bank accounts within your business books like this; while you're certainly capable of doing so, it may make a mess of your later financial statements and overall book quality.

@sw1222  That being said, I suppose there may be one way to have it functionally work the way you want it to.

If QBO's expense or credit card payment functionality allows you to use multiple lines, you could use one line for the payment on the card out of a dummy bank account or other pass-through asset.

Then, you would set a second line to an Equity account for the negative value of the payment.

This would, in effect, enter a payment to the credit card while increasing the Equity value. It would also have a net zero effect on the pass-through asset's balance, leaving your balance sheet functionally intact.

It’s important to note that a bank account is classified as an asset in QuickBooks, and therefore, it cannot function as an equity account, @sw1222. However, an alternative is to create an expense or check transaction, since we are essentially transferring funds between accounts. I’d be glad to help you navigate this process.

As suggested by FishingForAnswers, we can set up the first line using either a bank account or another asset. Then, we can designate the second line to an equity account that shows the negative value of the payment. This approach will allow you to record the payment while maintaining a net zero effect on your accounts.

To do that, here's how:

1. Click on the +New button, then Expense.
2. Fill in the required details, including the Payment account, Payment Date, and Payment Method.
3. In the Category details section, enter the bank account category in the first line.
4. On the second line, choose the equity account and enter the negative value of the payment.
5. Complete any other necessary details.
6. Hit Save and close once you’re finished.

Following this, you’ll be able to match the transactions appropriately. Additionally, it's essential to reconcile your accounts regularly to ensure they remain accurate and up-to-date.

If you need further assistance with matching transactions, reconciliation, or any other banking inquiries, our QuickBooks Live Expert Assisted service is available to help.

Remember, we're always here to help if you have further questions about recording credit card payments, matching transactions, or reconciling accounts in QuickBooks Online. Please click the Reply button and we'll get back to you promptly.

Just type it in your bank register. The button below lets you split out different expense accounts from your chart of accounts. It then shows up on correct bank reconciliation. Also shows up on correct account reports. 

Thank you, but i still need some more clarification if possible.

I attached what the bank feeds look like.

These are all the cc payments that were made for card xxxxxxx with an account that I dont keep record of in this qb file.

Please let me know what to do from here.

Thank you!

Keeping your records accurate can be achieved by removing the payments made for card xxxxxxx or retaining them, @sw1222. Allow me to share more insights and clarify this further.

You can remove these transactions if you don't want to record them in your QuickBooks file and show them in your financial reports. However, if these records are still part of the business, I suggest following @FishingForAnswers' advice to streamline your accounting records.

Here's how to remove transactions from your downloaded bank feeds:

1. From your Bank transactions' For review tab, check the xxx1005 payment boxes.
2. Once done, click Exclude.
   
   

    

3. (Optional) Go to the Excluded tab and then click Delete.
   
   

To also ensure every decision is accurate, I suggest consulting your accountant for expert advice, especially for complex financial decisions.

You can reference this article for more details about reviewing categories assigned for bank entries that are automatically downloaded: Categorize online bank transactions in QuickBooks Online.

To learn more ways to remove transactions loaded into your bank register via bank feeds or ways to categorize them automatically, please check these articles for the complete guide:

• Unmatch downloaded bank transactions or move them to another account
• Set up bank rules to categorize online banking transactions in QuickBooks Online
  
  

Together with Community members joining in, we can make decisions and keep everything crystal clear. Please drop a response if you need more assistance recording or removing transactions in your QuickBooks file. Always remember the Community will be right here to help, sw1222.

I need to keep record of the CC account.  However, the account from which the cc payments are drawn from, is not connected to this quickbooks account.

That being said, I need to know how to record the payment made on the card, if the account from which the payment was made, is not associated with this qb account.

@Rainflurry  This one seems to be dragging on a while, if you want to take a crack at it.

@sw1222 

The answer depends on:

1) Is the external account a business account or a personal account?

2) Why is this external account not in your QB company file?

Regarding #1, presumably this is a business account.  If it's personal, then the payment should be assigned to the appropriate equity account for the PLLC.  If it's a single-member PLLC, then Owner's Capital.  If the PLLC has made an entity classification election, then use the equity account that applies to the entity (S-Corp, C-Corp, etc.).

Regarding #2, is the bank account on another related-company's balance sheet or ???  The issue is that you have assets (this external bank account) for the firm that are not in QB and, therefore, the source of the bank account balance is also not in QB.  So, how is that bank account balance increasing if you're not tracking that in QB?  If you're not tracking this account elsewhere, then your balance sheet (and most likely your P&L) aren't accurate so just create a fake bank account called "External Bank Account" or something similar and assign that to the payments, it really doesn't matter.  However, if you're tracking this bank account elsewhere (in another QB file/company) then the payments should be assigned to a corresponding account with this other company.  

@FishingForAnswers 

I thought your response was good and didn't want to step on your toes.