Loan Repayments
This article is for churches and charities that account on an accruals basis.
For charities that account on a Receipts and Payments basis (cash basis), see this help guide article on loans.
Your charity or church may have outstanding loans or mortgages (money you owe) on your balance sheet.
You need to allocate the transactions relating to the payment of these loans correctly in ExpensePlus:
- part or all of it will be the reduction of a loan balance outstanding
- part of it may be an expense (if you pay interest on the loan).
Reconciling Loan Repayments
Loan repayments are reconciled from the Bank matching screen in the Bank Reconciliation module.
Once you have uploaded your bank transactions, on the bank matching screen:
- click on the loan repayment bank transaction in the left-hand table on the bank matching screen
- change the Transaction Type dropdown to select Loan Repayment
Under Transaction Details, you then need to:
- Select the loan you want to allocate this repayment to
- If you do not pay interest on this loan, simply click Submit.
If you do pay interest on this loan, part of this loan repayment amount will be interest:
- Enter the amount of interest paid as part of this transaction
- Select the fund and category from which you will pay this interest (which will be recorded as expenditure), then click Submit.
You will see the effect of your loan repayment recorded in the Loans module, which is accessible from the sidebar menu.
Note: Interest amounts will not appear in the Loans transactions since these are classed as expenditure and do not affect the outstanding capital balance.
Updating Loan Repayments
If a loan repayment has been incorrectly matched (e.g. the split of capital and interest amounts needs to be updated), you will need to unmatch the transaction, then re-match it again with the correct split.