I am wondering how to record debts such as vehicle loans, credit cards etc. Bearing in mind that some of these debts aren’t paid off in full, when a new statement is issued, there may be additional interest which is then not going to equal the previous balance, less the amount that’s been paid.
What is the best way to record these items? And to record the payments against them? I’ve seen a few things that say create them as a bank account but that’s really not working because when I allocate a payment the payment is coming out of the real bank account where the money is.
I would have thought these would have been some kind of liability but I can’t figure out a way to put in a balance for the debts
Hope that makes sense.