Can a member loan the church money? If so, how is the repayment amounts recorded in the books? I would like to hear your advice/comments.
I believe it would be handled the same as if the church had acquired a bank loan.
If you are using a double entry bookkeeping system, you would debit cash and credit notes payable when you first receive the loan. Then for the repayments, you would do the opposite: debit notes payable and credit cash.
If you are using a single entry bookkeeping system such as my spreadsheets, I would set up an expense account and record the repayments in it.
Hope this helps,
Learn how to record basic church accounting transactions.
Church Accounting Package
Know the answer? Face the same situation? Please post your answer or comment by using the "comment" link below. Thank you!