NetLoan - Non-Loan Payments Setup

Overview

NetLoan has the ability to keep track of non-loan payments associated with specific loans. The system allows for up to three different non-loan payment categories per loan. NetLoan will create monthly journal entries related to these non-loan payments when the monthly amortization journal entries are run. This guide will show you how to set this up on your system.

Prerequisites

  •  The Non-Loan Payments feature must be enabled in NetLoan > NetLoan Setup > System Setup > System Features.

Step By Step Process 

  • Rename the non-loan payments in NetLoan > NetLoan Setup > System Setup > Non-Loan Payments. 
  • Optional: Create a new billing item for the expenses. Navigate to Lists > Accounting > Items > New. Under the Non-inventory Item section, select For Purchase.
  • Optional: Enter the billing item name and any tagging information desired. Under the Accounting subtab, you will need to enter the loan payment payable clearing account as the expense account and tax schedule associated with the item. Click Save.

  • Edit the loan types to include the accounts and items for the non-loan payments. Navigate to the loan type (NetLoan > NetLoan Setup > Manage Loan Types) and select Edit. Select the Non-Loan Payment Accounts subtab at the bottom and assign the billing item and expense account for each non-loan payment.
  • Once the loan type has been updated, enter the non-loan payments through one of the following methods. 
    • If the loan is in the pending status, input the non-loan payments on the loan record (NetLoan > Loan Management > Loan Register > Select Loan) or through a CSV upload. 
    • If the loan has already been commenced, you will need to run a modification and input non-loan payments following the instructions outlined in the Non-Loan Payment article. 
  • Non-loan payment records can later be viewed on the Payments subtab on the loan record.


Results

  • The monthly amortization journal entry will include extra lines for the non-loan payments. See our guide for running monthly journal entries for help with that process.
  • The journal entry will show a Debit to the expense account assigned in the loan record and a Credit to the loan payment payable clearing account.


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