Bond Purchase accrued interest deducted twice [edited]
Bond purchase from brokerage deducts the bond cost plus any accrued interest from cash balance. Then records the accrued interest separately and deducts again from the cash balance. I have to adjust each transaction to avoid the duplicate accounting and also corrects the bond value/Price.
Example: Buy $1,000 bond at par with $100 accrued interest. Quicken records:
DR- Bonds $1,100 CR- Cash
DR- Misc Exp ("Accrued Int") CR- Cash
Then I have to correct the bond entry to record the net bond cost.
Is this peculiar to the brokerage (JPM) or a Quicken bug in the download?
Answers
-
I don't have an answer to your question, but I edited the title to show the issue
QWin Premier subscription0 -
I suggest as a test you manually enter the same purchase. My version of that would be
That produces two entries in the transactions list as:
(ignore the -647 and -747 cash balance values.)
After that entry, an edit of the Bought transactions for the the bond shows as below since the accrued interest payment has been moved to a separate transaction.
Fundamentally, that all appears correct to me. If JPM is producing something else, you may need to edit accordingly.
0 -
It looks like JPM uses Web Connect for downloading which, as I understand it, comes to you as a QFX file. I'd think that you'd be able to look inside that file and see what JPM is sending you.
0 -
Thanks for your response. What you show is exactly what happens and that is how I correct it. My real question is why is it initially recorded that way?
0 -
I understood your question and assumed that it was recorded using the downloaded file. I suggested that you look into that file to see if that's actually what JPM sends you. If they send the correct information, properly formatted, but it gets recorded incorrectly in Quicken then the answer to your question would be "it looks like a Quicken bug." But if you determine that JPM is sending exactly what you're seeing in Quicken then the answer to your question is "JPM is sending you bad information."
Depending on the answer you now know which entity you need to talk to.
0
