Best way to enter a loan payment?

I have set up an account for a loan.  When I write out a check for a payment for this loan - instead of entering it as a minus, it adds my payment to the loan.  How can I correct this?

Hello @Mugs,

Let's make sure you have selected your liability and expense account as the line item of your check so it will post a payment into your loan account.

1. Go to the Plus icon.
2. Under Vendor, select Check.
3. On the Category section, select your liability account and expense account.
4. Enter the amount.
5. Click Save and close.

Here's an article you can read to learn more about how you can manage your loan and payment: Make a loan payment in QuickBooks Online.

I've also included this helpful article for more insights about managing your loan: Set up a loan in QuickBooks Online.

Keep me posted in the comment section down below if you have any other questions. I'll be always around ready to lend a helping hand.

I make a loan payment monthly. 

My bank transfer the money (send a check) to the Loan's holder (bank account).

However I do not know how to categorize or match it. So how do I record this loan payment? Can you help me?

Hello there, GabrielaIzurieta,

Recording a loan payment only takes a few steps. Here's how:

1. Click the Plus icon.
2. Select Expense.
3. In the Payee field, enter the business or person you received the loan from.
4. Select the bank account holding the loan you'll use to make payments from the Payment account dropdown.
5. Enter the Payment date and select the Payment method from the dropdown.

To enter the payment:

1. Select the first line.
2. From the Category dropdown, select the account you used to track this loan.
3. Enter the total amount of the loan payment in the Amount field.

Check this article to learn more: Make a loan payment in QuickBooks Online.

If you have other questions, don't hesitate to post in the Community.

Hi I took out a loan for my business in 2018 but since the business couldn’t, afford to pay it I pay it personally. I still have the loan account in quickbooks. What is the best way to close it out in Quickbooks?

Thanks for joining this thread, @SidiCorp.

I have all the steps you'll need to pay back the business loan using your personal money. 

Here's how:

1. Click the + New button.
2. Select Journal entry.
   
3. On the first line, select the liability account for the loan from the Category dropdown. Then enter the payment amount in the Debits column.
4. On the second line, select the expense account for the interest from the Category dropdown. Then enter the interest amount in the Debits column.
5. On additional lines, add any additional fees. Select the appropriate accounts from the Category dropdown. Then enter the amount of the fees in the Debits column.
6. On the next line, select Partner's equity or Owner's equity. Enter the total payment in the Credits column.
7. Select Save and close.

When you reimburse a personal expense, you can record it as a check or an expense. For the detailed steps, refer to this article and proceed to Step 2: Pay for business expenses with personal funds.

You can also check the write-up about mixing business and personal funds for additional reference.

Don't hesitate to visit us again should you require further assistance. The Community is always here to help. Have a great day.