How to properly setup a mortgage loan in quicken for mac?

karl21

Quicken for Mac
Version 7.0.1 (Build 700.48728.100)
macOS 12.6.5
I have setup a mortgage loan in Quicken. The details that I input for loan results in a correct monthly payment amount, 1.199.45 (660.16 principal and 539.29 interest).
When I make a monthly payment, the bank only decreases my balance by the amount of the principal that I paid that month. Quicken decreases the loan balance by the entire amount that I've paid. Did I set it up incorrectly?

jacobs

I'm not sure what you've set up wrong, but it may be the setting on the second screen of the loan set-up that's not configured correctly. Let me walk through it and you can see what's different in your file.

I entered the values you showed in your screen shot. (Interestingly, although Quicken calculated the same monthly payment for me, my split of interest versus principal calculated differently than what's shown in your screen shot.)

Now, when I press the Continue button to go to the second screen, the key is setting Quicken for "Detailed Reminder" — that's what tells it to record a split in the transaction:

Note that at the top left, you need to specify the account your payment comes from. In this example, my bank account is called "1–Checking". On the right side, it then shows the split between interest expense and the principal payment, which is a transfer to the loan account.

When I go to my checking account and mark the next payment as paid, this is what it looks like:

The split shows the portion being transferred to the loan account (called "Mortgage"here) and the portion charged to loan interest expense. And in the Mortgage account, I see the other side of the transfer from the 1-Checking account, as expected:

Hopefully you can see what you've got configured differently than my example and get back on track.