Account classification - does it matter?

[Ian Konen]

On Fri, Apr 26, 2013 at 12:28 AM, Jamestk <davidjamestk at hotmail.co.uk>wrote:

> Hello all.
>
> I just wanted to know if the actual account classification is important
> when
> using GNU cash?
>
> Over time I have found the different headings used a bit confusing at
> times.
> As an example the credit card shows a debit red balance when in credit.
>
> I understand this is for a reason but to overcome the confusion between
> reading accounts I have changed their classification  to 'bank accounts'.
>
> Credit cards are still listed under the original hierarchy of 'liabilities'
> and bank accounts 'current assets'. Question is, before I go too far down
> this road will it affect reports or other functionality?
>
> Thanks in advance,
>
> David
>
>
Account classification does affect some behaviors, although I wouldn't be
confident I can predict all the consequences.  Before you go down that
road, have you checked the setting on reverse balancing credit accounts as
a GnuCash preference?  (Edit->Preferences->Accounts->Reverse Balance
Accounts).  That fact that classifying it as a bank account seems to have
fixed how the balance displays makes me think that "Credit Accounts" is
selected and you'd actually prefer "none".  I might have that backwards but
either way it's worth checking.

-- 
Ian Konen
iankonen at gmail.com
www.linkedin.com/in/iankonen
978-821-6498