How do I track a loan to someone else in iBank?

In iBank, a loan account is a special account type with a setup that lets it calculate the amortization schedule. iBank makes the assumption that a loan is money you owe others, and in the current version, it doesn’t work the opposite way. In other words, iBank doesn’t amortize loans made to¬†others. You’ll have to calculate the interest/principal schedule on your own, but there are numerous online amortization calculators that make short work of it.

To track such a loan, the best thing to do is create an asset account with a positive starting balance equal to the initial amount of the loan. Ideally, the transaction in your account from which you paid out that money will be categorized in iBank as a transfer into this asset account. Then, each time the borrower pays you back, you make a transfer from that asset account into your checking account (or wherever you actually put the funds paid).

That way your net worth is unaffected, you have a record of the payments, and your balances in your deposit accounts remain correct. You can also add another “deposit” (or transfer) to reflect additional funds lent to the borrower.