In order to set up a loan account, simply follow the below-given steps and you will be good to go.
How to Set up a Loan in QuickBooks
- Login to your quickbooks accounts and navigate to chart of accounts (COA) tab.
- Now from Accounts tab > choose New.
- Here Navigate like: Company > Lists > COA.
- Right click on some empty location. A dialogue box will appear, choose New.
- From the dialogue box that appears, click on the “others” tab and click the drop down arrow to see more account types.
- Now click one of the 2 options like whether the loan is Current Liability (Short term) or long term Liability (which will take years to repay).
- Once selected click on the continue tab.
- Enter the name and other details. And if it asks for the amount then leave it to “0”.
- Click close when done.
Now create a Deposit
- Now under the main menu tab, navigate like Banking > Make deposits.
- Choose the deposit account.
- From the tab called “From account”, fill in the name of the account you have created to track loan.
- Now type the loan amount under amounts tab and click save.
- Congrats you have successfully setup loan in quickbooks.