Informations :

Shedule Payments Setup

1.) Enter full value of loan (not including interest) as a payable transaction
a. Use the Original Loan Date as the Document Date
b. Use the Loan Number as the Document Number
c. Use the Fixed Asset account as the Debit on the distribution
d. Post

2.) Create the Scheduled Payment

a. Use the following schema for the Schedule Number
Equipment Loans = (max 17 characters) EQ-EQUIP#
Vehicle Loans = (max 17 characters) VE-VEHICLE#
Other Loans = (max 17 characters) OT-OTHER#
b. Enter the Contract or Account number followed by the description of the financed vehicle or equipment or other note for the Schedule Description.
c. Select the Document and Vendor just entered into Payables in Step 2
d. Enter the Interest, number of payments
e. Enter the Accounts Payable GL account in the Posting Account section
f. Enter the Notes Payable GL account relevant to the purchase
g. Enter the Interest Expense GL account if applicable
h. Click calculate to generate the calculated payment amount.
i. Verify that this is correct against the loan documents
j. If the payment amount does not match the loan documents, manually enter the amount in the Calculated Payment Amount field.
k. Review the Amortization schedule
l. Click Post

3.) Once Posted, a journal entry will occur that debits Accounts Payable and credits the Note Payable account. The Open A/P Transaction will be reclassed from INV to SCH in the Vendor inquiry screen.

4.) Open the Post Scheduled Payments window (existing loans only)

a. Mark all payments from the first payment due through the last payment made
b. Click Post (this will create an A/P invoice for every payment listed)

5.) Open the Void Open Transactions window (existing loans only)

a. Select the Loan Vendor
b. Mark all the A/P invoices just created in Step 4.
c. Click Void (this will void all the A/P invoices created but not return them to the Scheduled Payments window)

6.) Create a journal entry for the purchase of the loan (existing loans only)
a. Credit account = Asset GL number
b. Debit account = Note Payable Account GL number

7.) Process upcoming payments in the Post Scheduled Payments window as invoices/statements are received.

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