Record loan receivable for loan previously given

KJIsaacson

I know (I think) thatvif I record a loan receivable, I debit a loan account and credit cash.

But what if, when I need to record the loan, the cash was loaned out some time ago. I wouldn't credit cash, because I'm not reducing the cash I have. What would I credit?

Thanks!

Barsin

Hey there @KJIsaacson

The principles should remain the same for recording a loan when you import your transactions retroactively you will be able to use the expense and deposit transactions into your bank account to categorize these appropriately. Be sure to follow the instructions in creating your loan accounts under the chart of accounts!