QuickBooks Loan Manager establishes loans in QuickBooks depending on the info given on the Long-term Liability & Other Current Liability accounts. The Loan manager enables you to track both Principal and interest without glancing over the amortization tables to evaluate the amounts. Subsequently, these amounts will be entered manually using the journal entries.
Before starting to use the Loan Manager in QuickBooks, it is important to set up the below a/c and vendor in QB Desktop.
You May Also Read: A Guide to QuickBooks Closing Entries
The Escrow is a particular part of a loan that is kept in an account by a third-party until all the conditions of the loan are fulfilled. The Escrow account is similar to QuickBooks Asset Account that monitors the Escrow portion of the loan payment. The account is primarily used to pay taxes and insurance.
This is how you set-up an Escrow Account:
The ‘What if scenario tool’ is a tool to see the effects of other Payment amounts, Repayment time period, etc. Look at the below steps to use it
That’s how you set up QuickBooks Loan Manager and utilize it after that. Once set-up properly, it keeps a good record of the credit amounts and the loans you are taken. If you face any difficulty or issues in performing the above-provided steps, then you can speak to a QuickBooks Expert at QuickBooks ProAdvisor Support number 1-877-263-2742.
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