Hello there, swainentllc.
You'll have to create a liability account and make it use to enter payment for a loan in QuickBooks Online. To guide you further, please follow these steps:
- Go to Accounting on the left panel.
- Click New at the upper right corner to create a new account.
- From the Account Type drop-down arrow, select 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.
- From the Detail Type drop-down arrow, select Notes Payable.
- Enter the account name.
- In the When do you want to start tracking your finances drop-down arrow, choose when you want to start tracking the transactions.
To track the loan money you have to spend, you can create journal entries. Then, use the liability you've created from the Chart of Accounts (COA). Enter the loan amount in the Credit column. In the next line, choose the asset column appropriately from the Account drop-down arrow and record the same amount in the Debits column.
Then, record a loan repayment by creating a check within QuickBooks. You can use this reference for an additional guide: Learn how to record a loan in QuickBooks Online.
Also, you might want to use this article to learn more about the Chart of Accounts: Understand the chart of accounts in QuickBooks.
Please let me know if you have other concerns. I'm always around to help you figure them out. Take care always and enjoy your day!
