Is there auto method to reduce mortgage for extra principal payments?

I am currently paying extra principal payments towards a mortgage loan. I have Quicken transaction setup to reflect the extra principal. However whenever I record the monthly payment in Quicken, the mortgage is only reduced by the regular principal payment (i.e. not the extra payment). The only way I can find to correct the principal balance is to go in and manually adjust principal balance. Is there a way to have Quicken automatically reduce the extra principal?
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Comments

  • UKR
    UKR SuperUser ✭✭✭✭✭
    If you're paying extra principal regularly every month (this is not a one-time payment you're asking about), the Split Transaction detail used in your monthly payment needs to look similar to this:
    The amount of additional monthly principal must appear in line 3 of the Split.
    Lines 1 and 2 amounts are inserted by Quicken and should remain unchanged.
    Line 4 is for the total amount of Escrow withholdings (no additional lines, please)
  • DesertChick
    DesertChick Member ✭✭
    FYI I was able to able to implement your suggestion with slight modification: In my version of Quicken the split transaction doesn't break out the interest from principal--it is combined into the Mortgage Category. The extra principal payment was listed in the "Mortgage Principal" category. So I changed it to a second entry for the Mortgage Category and it worked. Thanks again for your help!