I'm here to help you clear your credit card account, cdhodgdon.
You have to create a journal entry to resolve the balance before you inactivate the Credit card account. What you can do is create a clearing account to show where the payment is coming from. This way it will be posted as paid off by the owner.
Here's how to set up a clearing account:
- Go to the Lists menu, choose Chart of Accounts.
- Right click anywhere in the Chart of Accounts, then select New.
- In the Add New Account window, click the Bank radio button.
Note: While you can choose from several types of accounts, the best is a bank account because of the following reasons:
- You can pay into a bank account via Receive Payments or Make Deposits.
- You can pay out of a bank account via Write Checks or Pay Bills.
- A bank account appears on the balance sheet and on the statement of cash flows to balances and changes in balances.
- To allocate expenses to overhead or class using a zero check, you must use a bank account as your Clearing account.
- Click Continue.
- In the Account Name field, enter Clearing Account, Barter Account or Wash Account.
- Do NOT enter an opening balance.
- Select Save & Close.
Then, create a journal entry using the clearing account. I would also recommend consulting with a professional accountant to help you clear out or handle the amount accordingly to avoid messing up your books.
You can also visit this website: Reconcile Workflow. This provides more details about starting, fixing discrepancies, and completing the reconciliation process.
If there's anything else I can help you with or additional questions about the process of clearing transactions from your accounts, just let me know. I'd be more than happy to assist you further.
