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Use Bank Loans to record loans your business has taken — from a bank or other lender — and to track their repayments over time. Hitaji 360 builds the repayment schedule for you, posts the disbursement and each repayment to the General Ledger, and keeps the outstanding balance current. You’ll find this at: /accounting/loans — in the navigation this page is labelled Loans (“Manage and track organization loans”).
This is for money your business borrows (a liability). For money your business lends out, see Debts (Money Lent).
📷 Screenshot: The Loans list page with the “Add Loan” button and loan statuses — to be added.

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The life of a loan

A loan moves through these statuses:

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Step 1 — Create the loan (Draft)

Click Add Loan and fill in the terms: On save, Hitaji 360:
  • Assigns a loan number (e.g. LN-0001).
  • Calculates the maturity date from the disbursement date plus the term.
  • Generates a full amortization schedule — period by period, splitting each payment into principal and interest, with opening/closing balances and due dates — and sets the next payment date and amount from the first row.
The loan is created as a Draft. While it’s a draft you can edit it (only drafts are editable) — and if you change any financial term, the maturity date, schedule, and next-payment figures are recalculated automatically. You can also delete a draft loan.
📷 Screenshot: The loan detail page showing the generated amortization schedule — to be added.

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Step 2 — Activate the loan (post the disbursement)

When the money actually arrives, Activate the loan. This moves it from Draft to Active and posts the disbursement journal entry.

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Behind the scenes (disbursement)

  • Debit your disbursement (bank) account for the principal — the cash arrives.
  • Credit the loan liability account for the principal — you now owe it.
Only Draft loans can be activated.

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Step 3 — Record repayments

As you make payments, record each one against the loan with Record repayment. You enter: Repayments can only be recorded on Active loans.

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Behind the scenes (repayment)

Each repayment posts:
  • Debit the loan liability account for the principal — reducing what you owe.
  • Debit the interest expense account for the interest — recording the cost of borrowing.
  • Credit the payment (bank) account for the total (principal + interest) — the cash going out.
After posting, Hitaji 360 updates the loan’s running totals — total repaid, total interest paid, and outstanding balance (reduced by the principal portion) — marks the matching amortization row as paid, and advances the next payment pointer. When the outstanding balance reaches zero the loan is automatically set to Paid off.

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Undoing a repayment

Deleting a repayment reverses it: the loan totals are rolled back, the outstanding balance goes back up by the principal, the amortization row is un-marked, and a loan that had been Paid off reverts to Active.

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Closing a loan

Use Close to mark an Active or Paid off loan as Closed. Closing is a status change only — it doesn’t post a journal entry.

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Statuses, schedules & tracking

  • Each loan keeps a live outstanding balance, total repaid, total interest paid, and next payment date/amount.
  • The amortization schedule records, per period, the opening balance, principal, interest, total payment, closing balance, and whether that period has been paid (and when).
  • A stats view summarises loans across the book.

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Working across multiple businesses

Loans, their accounts, and their repayments are scoped to a single accounting book, and each business has its own book. Make sure you’re in the correct business before recording a loan — the liability, interest-expense, and bank accounts must all belong to that book.
  • Bank reconciliation — the loan disbursement and each repayment move your bank balance and will appear on your bank statement.
  • Debts (Money Lent) — for money your business has lent out (the opposite side: an asset, not a liability).
  • Payments & Receipts — for ordinary money in and out.