Repeating online payment not registering with bank.

Question

I use quicken to setup online payments with my bank. I created a mortgage account with in Quicken and set up a connected online payment. The payment is showing in my register, but it doesn't list the check number. Instead, it shows as "sched". It is also showing in my Bill reminders with the choice of "pay" in the action column. If I click pay, it initiates and online update. However, nothing changes after the update is completed.

ajkelsey · Answer

My loan account is not a downloading account. Never-the-less, Quicken makes the arraignments for payment. The payment from my loan account is entered into my checking account as an online payment. However, it doesn't seem to register with the bank's side.

This had worked at one point. I had to change who my payment goes to and everything got screwed up. I wound up deleting the original loan account and created a new one.

Tom Young · Answer

I think the issue here is that your mortgage Account is set up as a "downloading" Account.  In this situation you have no access to the loan register and your entries over in the checking Account don't affect the mortgage Account at all because all entries for that Account come from the financial institution servicing the loan.  
So when you enter the payment in the checking Account the payment should be split between an interest expense Category and a "principal" Category.  (Of course the principal payment against a loan isn't a "Category", it's a "Transfer", so from a pure accounting standpoint this is an incorrect entry.)  Later, when the financial institution servicing the loan process the payment, hopefully observing the same split between principal and interest that you used in the checking Account, it "pushes" that principal amount down to your loan Account with no offsetting entry to your checking Account.  
It's a situation where two "wrongs" do make a "right", but you have to wait until the loan Account is updated to get there.