Skip to main content

Get 50% OFF QuickBooks for 3 months*

Buy now
Switch to QuickBooks and 70% off for 3 Months
December 10, 2018
Question

Loan origination fee

  • December 10, 2018
  • 2 replies
  • 6 views

I took out a business loan earlier this year from Paypal Loanbuilder.  The loan amount was for 7500.00.  There was a fixed loan origination/interest amount of 858.06.  $7500.00 was deposited to my account, but the total loan amount to be repaid was 8358.06.  I already setup the 7500.00 loan in my chart of accounts as a "Other Current Liabilities" with a balance of 7500.00 to be paid (already paid off, but I know how to match the payments from my checking account).  My question is, how to I get the loan origination/interest amount of 858.06 added to the "Other Current Liabilities" register?  And where does the 858.06 come from?

 

Thanks!

2 replies

December 10, 2018

Open the register and enter the amount.  Open the register by double clicking on the account on the chart of accounts.

mdaytonAuthor
December 10, 2018

And the origination/interest fee should be debited from the Interest Paid account?

June 10, 2022

I had the same problem and could not get the origination fee/interest added after the fact. I created a new loan that started with the origination fee/interest as the balance, then when the deposit from the loan hit my bank account I categorized that deposit as part of the loan, so it all looks like a liability.

Hope this helps.

January 14, 2019

Did you ever get a solid answer on this or figure out how to account for it? I am having the same issue.  Thanks!!