Car Loan Question

[jcard21 xxxxxxx]

On Mon, Feb 17, 2014 at 5:24 AM, jcard21 xxxxxxx
<jcard21+gnucash at gmail.com> wrote:
> On Sun, Feb 16, 2014 at 9:59 PM, Youssef Ltaief <ltai0001 at yahoo.com> wrote:
>> Hello
>> my situation is as follows. I have a pending car loan that I correctly setup up a couple of years ago. A few months ago I decided to give the car to my sister but keep paying the loan. She is reimbursing me for the monthly payments.
>> I use the payments I make against liability:principal and expense:interest. How would I record the reimbursements my sister pays me every month?
>> Any help is appreciated
>
> Accounting records the movement of money.
>
> Here is how I would record the auto loan payment transactions:
>
> 1) When your sister pays you, from within your Asset:Bank account
> register where you deposited (or will deposit) the money, add a
> transaction to debit your Asset:Bank account (split1), and credit one
> of your Income accounts (split2).
>
> 2) When you pay the car loan, from within your Asset:Bank account
> register, credit your Asset:Bank account for the amount of the
> check/pymt (split1), debit your Expense:AutoLoanPrinciple account
> (split2), and debit your Expense:AutoLoanInterest account (split3).
>
> --
> jcard21

Sorry, I meant:

Liabilities:AutoLoanPrinciple and
Liabilities:AutoLoanInterest.

-- 
jcard21