NetLoan - Loan Payable Clearing Account Reconciliation
Purpose
The loan payable clearing reconciliation report is used to review loan payment activity by loan. Vendor bill payments recorded by Accounts Payable and loan amortization entries booked by NetLoan run through the loan payable clearing account. This activity should net out to zero for each month if the correct payments are made and NetLoan schedules are correct.
How To
Navigation:
NetLoan > Reports (All or GL & Recon) > Loan Payable Clearing Reconciliation > Run
Filtering:
The report search can be narrowed down by adjusting the filters for subsidiary, currency, consolidated exchange rate, report level, department, class, location, loan, accounting period, or date. Once desired filters are set, click preview to view the reconciliation.
Filter by accounting period or date to match payments to report period.
Results
Upon running the report the user will see the loan payable clearing account by loan. The individual loans can be drilled down to view the associated transactions. If the loan payments recorded match the NetLoan amortization schedule each loan will net to zero. Select the export button to download report into Excel.
Troubleshooting
If the reconciliation does not net to zero check the following:
1. Does the loan payment on the vender bill match the loan schedule?
2. Is the loan payment transaction tagged with the appropriate loan? If a payment has been made and is not tagged with loan there will be a balance in "Unassigned".
3. Are the loan payments coded to the appropriate accounts? When AP makes a loan payment the following journal entries should be recorded:
DR. Loan Payable Clearing Account
CR. Cash/AP