Good to see you here, Teia_M.
You can categorize it as Income. Although, I'd still recommend checking with your accountant for further advice to make sure that you're using the right category for this type of transaction.
Processing of 1099-INT is not offered in QuickBooks. You'll want to use TurboTax or a different app to help you file the form. Here's a link that will route you to TurboTax: https://turbotax.intuit.com/.
You can also check out these articles for additional reference when filing the form:
The Community is always here if you need anything else.
