You have to create your loan account first as a debt account with a starting balance equal to the loan amount as a negative value *or* create the account with a null balance and a starting transaction (using the startup account type). Then you just have to enter monthly payments this way:
In this example 'My Loan' have a starting balance of -$500.00
| Date |
Origin Account |
Target account |
Amount
|
|
|
| 08/31/2003 |
My checking account |
My loan |
40.70
|
| 08/31/2003 |
My checking account |
Financial expenses |
2.13
|
'My loan' balance becomes -500 + 40.70 = -$459.30
'Financial expenses' is an expense account we have created to compute interests.
And next month:
| Date |
Origin Account |
Target account |
Amount
|
|
|
| 09/31/2003 |
My checking account |
My loan |
40.87
|
| 09/31/2003 |
My checking account |
Financial expenses |
1.96
|
'My loan' balance becomes -459.30 + 40.87 = -$418.43
and so on until last month when 'My loan' will have again a balance of $0.00, 'My Checking Account' will have been debited for $500.00 and 'Financial expenses' account will have a balance of $13.96. Note that the calculation has been made with our Loan Calculator (Loan Calc)
