Loan to Cash accounting

Hi All

Is there any ways to book loan proceeds other than income? For example I
take a loan to purchase a car and some misc items. So I create the loan
account with the repayment terms etc. Then the bank gives me the cash. The
cash is then used to purchase the assets. To be able to reflect the
purchases, I have to post cash received from the bank as income. In
QuickBooks or Quicken an accounting entry would have created by transferring
from the loan account to the cash account and the individual purchases
recorded accordingly. However, when you use money and set up the loan, no
corresponding values are received on the asset side and the loan proceeds
must be booked as an income?

Regards Phantom

Cal
Wed Aug 29 04:47:26 CDT 2007

In microsoft.public.money, Phantom wrote:

>
>Is there any ways to book loan proceeds other than income? For example I
>take a loan to purchase a car and some misc items. So I create the loan
>account with the repayment terms etc. Then the bank gives me the cash. The
>cash is then used to purchase the assets. To be able to reflect the
>purchases, I have to post cash received from the bank as income. In
>QuickBooks or Quicken an accounting entry would have created by transferring
>from the loan account to the cash account and the individual purchases
>recorded accordingly. However, when you use money and set up the loan, no
>corresponding values are received on the asset side and the loan proceeds
>must be booked as an income?

In the non-business versions you can create a deposit with no
category. In the Memo note it is the loan proceeds.

Dick
Wed Aug 29 07:15:39 CDT 2007

This is a long-standing wish list item. Loans should allow Transfers in/out
at inception. They don't. But you can fake it out. See
http://umpmfaq.info/faqdb.php?q=86 for a long unrelated answer that, in the
last paragraph, describes Chris Cowles' technique for doing this. This comes
up often enough that I think some day Real Soon Now I should break that out
into a separate answer.

"Phantom" <Phantom@discussions.microsoft.com> wrote in message
news:F0EF584D-5100-4A4B-8FAA-BF269E16667D@microsoft.com...
> Is there any ways to book loan proceeds other than income?