Matured Bond

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RZD$
RZD$ Member ✭
in Investing (Mac)
How do I remove a matured bond from my Schwab portfolio? There is no such transaction code.

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  • Frankx
    Frankx SuperUser ✭✭✭✭✭
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    Hi @RZD$

    Yes there is no such transaction type.  But you should use a "Bond Sold" transaction to record the maturity of the bond for the par value.

    Let me know if there are any followup questions.

    Frankx

                            Quicken Home, Business & Rental Property - Windows 10-Home Version

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Answers

  • Frankx
    Frankx SuperUser ✭✭✭✭✭
    Answer ✓
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    Hi @RZD$

    Yes there is no such transaction type.  But you should use a "Bond Sold" transaction to record the maturity of the bond for the par value.

    Let me know if there are any followup questions.

    Frankx

                            Quicken Home, Business & Rental Property - Windows 10-Home Version

                                             - - - - Quicken User since 1984 - - - 
      -  If you find this reply helpful, please click "Helpful" (below), so others will know! Thank you.  -

  • RZD$
    RZD$ Member ✭
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    Thanks so much for your quick response. :)
  • Frankx
    Frankx SuperUser ✭✭✭✭✭
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    Hi @RZD$

    Happy to help!

    Frankx

                            Quicken Home, Business & Rental Property - Windows 10-Home Version

                                             - - - - Quicken User since 1984 - - - 
      -  If you find this reply helpful, please click "Helpful" (below), so others will know! Thank you.  -

  • leonard kearney
    leonard kearney Member ✭✭✭
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    why doesnt quicken do this automatically? when i download (schwab) i get a remove transaction and a depositt transaction. I have to go in - delete both and enter a sold transaction.
  • Frankx
    Frankx SuperUser ✭✭✭✭✭
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    Hi @leonard kearney

    Actually, the transactions that Schwab provided are the correct transactions. This is because there is no "sold" transaction when a bond matures.  Instead, the bond (actually just the paper document, since it is no longer a "bond" after it matures) is exchanged for the bond's value at maturity.  Think of it as a certificate of deposit from a bank - when it matures you get the original value plus interest - you don't "sell" it.  A corporate bond is similar in "form" as that, just a little different because it is also a market instrument.

    Frankx

                            Quicken Home, Business & Rental Property - Windows 10-Home Version

                                             - - - - Quicken User since 1984 - - - 
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  • leonard kearney
    leonard kearney Member ✭✭✭
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    hadn't thought of it that way, interesting. So how do i categorize the deposit? it is more return of capital than interest
  • Frankx
    Frankx SuperUser ✭✭✭✭✭
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    Hi @leonard kearney

    As I noted in my first reply to this thread -  you should use a "Bond Sold" transaction to record the maturity of the bond for the par value.  If the amount received is greater than par value - that would be interest income.

    Frankx

                            Quicken Home, Business & Rental Property - Windows 10-Home Version

                                             - - - - Quicken User since 1984 - - - 
      -  If you find this reply helpful, please click "Helpful" (below), so others will know! Thank you.  -

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