Best way to handle credit card accounts?

Question

Using QB Contractor 2006 I'd like to know what people have found as the best way to handle credit cards.

I'm talking about credit cards we use to purchase things, not out sales.

I understand from my book that I can set them up as a vendor or as a "credit card" account.

I like the idea of a vendor, because the payments due will show up with other vendor payments due.

But I also want the total owed balance on the credit card to show up, but not as a bill that's due.

Any way to make it's total balance show up as a "Other Current Liability" or a bank account negative balance and still have it's monthly payments show up as vendor payments due?

Thanks,

GC

Golden California Girls · Accepted Answer

You set up a credit card account. You set up the vendor to pay to. When you reconcile the credit card account it asks you if you want to create a bill (to A/P) to pay. You can change the amount of the bill when you create it or later. I think this covers everything you asked about.

Chips · Answer

Hey, that worked great. It's all built just like I need it. Dang.I'm going to go through my book again and see if I just missed that, or if it's not in there.Thanks,GC

!-! · Answer

A vendor is someone you buy from, a credit card is one way to pay your vendors.  The credit card company is one more vendor.  A credit card account is sort of like a combination of bank account (because you use it to pay vendors as an alternative to writing a check) and account payable (because it tracks your balance with a vendor, the credit card company).

Chips · Answer

Yes, I understand all that, and that is how I wanted to deal with it.

As I found out based on GCG's response, somebody had their thinking cap on at Intuit when they set up how QB deals with credit cards. It's just what I wanted.

GC

Best way to handle credit card accounts?

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