FrontAccounting forum — Credit card payment

Re: Credit card payment

null@example.com (apmuthu) — Fri, 03 Feb 2017 15:54:01 +0000

Assign it as a "Bank" Account.

https://frontaccounting.com/fawiki/index.php?n=Help.BankAccounts

Re: Credit card payment

null@example.com (surendra) — Wed, 01 Feb 2017 11:05:51 +0000

hi i am new to FA , in banking transactions how to create account type like i would like to create Savings account or current account. where i had to do creation account type

Re: Credit card payment

null@example.com (ericta) — Mon, 01 Apr 2013 00:06:48 +0000

Interest on Principal

Re: Credit card payment

null@example.com (apmuthu) — Sun, 31 Mar 2013 03:27:28 +0000

Interest on Principal
or
Interesting (LIKES) Interest in FA?

Re: Credit card payment

null@example.com (ericta) — Sat, 30 Mar 2013 20:10:56 +0000

How do we record interest?

TIA
Eric

Re: Credit card payment

null@example.com (joe) — Thu, 09 Dec 2010 09:12:59 +0000

Thanks for your nice words

/Joe

Re: Credit card payment

null@example.com (rmartino0913) — Wed, 08 Dec 2010 20:34:24 +0000

OK so I'm feeling a little stupid now ... I didn't realize you could assign a bank account to a liability GL account. This solves the whole credit card thing. Create the GL liability account for the credit card, create the "bank account" to link to the liability account... enter your supplier things ... "pay" them using the "bank account" which is actually the credit card. And then as Joe said do a bank transfer to pay the credit card. It's genius!!! I ran through some sample entries in the demo and it worked fine. And the beauty is that the bank reconciliation should work for the credit card statement just like the bank statements too!!!

The more I experiment with this program the more I like it!!!

Re: Credit card payment

null@example.com (rmartino0913) — Wed, 08 Dec 2010 17:36:57 +0000

The only problem with this technique is you end up with "bank accounts" that have negative balances since credit cards are a liability not an asset.

You could set up a vendor for your credit card. Whenever you use your credit card to charge an expense, you enter an invoice to your credit card vendor and use the memo field to identify who the charge was made with. When you make the payment to the credit card vendor, you can select the individual charges to apply your payment to. In this way, you are actually reconciling your credit card statements as well.

I guess this technique would work best with expense items and not inventory items, but I thought I would throw this idea out there. Maybe it could be helpful to some.

Re: Credit card payment

null@example.com (joe) — Thu, 15 Jul 2010 08:43:05 +0000

The easiest way is to set the Credit Card Company up as a Bank Account and an underlying GL account in the liability section.

Then you only have to select this credit card bank account whenever you pay your supplier.
And when you settle your credit card you only do a Bank Transfer.

/Joe

Credit card payment

null@example.com (portscanner) — Wed, 14 Jul 2010 19:41:12 +0000

First - I think this software is the greatest thing since sliced bread. Just discovered it a few weeks ago and I am replacing Simply Accounting with this.

Now - dont laugh at me - I am in no way an accountant.

I figured out how to enter credit card transactions, i.e. my company buys from a supplier some goods. But I cannot figure out how you document the payments to the credit card company.

Do you do a "Bank Account Transfer"? (that does not seem correct) or do you do a Payment (under Banking and General Ledger) and set the account code/account description to the "Current Liabiliies" account that has the credit card transactions? Of is there another way?

Thanks for the help!!