NEGATIVE BALANCES

[Derek Atkins]

Hi,

On Sun, February 1, 2015 3:20 am, jb wrote:
> Hi - Why do transfers from one check account to another check account,
> show-up correctly as credits, but in-correctly with negative balances?

Because a credit to a Checking (or any other Asset) account *reduces* the
balance.

Most likely you are confused about Debits and Credits because you learned
it from your bank statement, but your statement is from the Bank's
point-of-view.  To the Bank, your Account is a LIABILITY.  In Liability
accounts  a credit *increases* the value.  So most people get confused.  I
suspect this is the case here based on your question.

I suggest you turn of "Use Accounting Labels" in your preferences so
you'll see that it says "Withdrawal" instead of "Credit" -- and that might
make more sense that it would reduce the balance.

Hope this helps,

> Regards - jb at bang.vispa.com

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-derek

-- 
       Derek Atkins                 617-623-3745
       derek at ihtfp.com             www.ihtfp.com
       Computer and Internet Security Consultant