self-loan

[Edward Grace]

On 2 Nov 2007, at 06:09, Vahur Lokk wrote:

> Brent Halvorsen wrote:
>> I am new to gnucash and don't know very well how it works. I have  
>> a loan to
>> myself. My old car died, and my car fund wasn't sufficient to buy  
>> my new
>> car, so I borrowed from my school fund. I intend to finish paying  
>> this back
>> over the next 6 months. How would I track this self-loan with  
>> gnucash?
>>
>> Thanks for the help,
>> Brent
>>
> Hi!
> This is not a loan.
> Depends on how much of a nitpicker you are you do:
> Assets:Schoolfund>Assets:Car Fund and then Assets:Car Fund>Assets:Car
> or simply
> Assets:Schoolfund>Assets:Car
> Then put a yellow Post-It on your computer screen, saying:
> "Put the schoolfund money back asap, or either...!"
> More seriously, cause you most probably do not pay interest to  
> yourself,
> its easiest to make monthly flat-amount scheduled transactions for
> returning the money.

Surely in some sense it *is* an interest paying loan - the interest  
you are paying is that which you are losing by it not being in the  
school fund.  I presume that at a fixed date in the future once it's  
all been paid back the school fund should have exactly the same  
amount as if you never "borrowed" from it - including all the interest.

(I'm not an accountant - just trying to think this through logically)

-ed