> ## Documentation Index > Fetch the complete documentation index at: https://docs.hitaji360.com/llms.txt > Use this file to discover all available pages before exploring further. # Debts (Money Lent & Other Receivables) > A debt in Hitaji 360 is money owed to your business that did not come from a sale — for example money you lent someone, an expense you paid on a partner's… A **debt** in Hitaji 360 is money owed **to** your business that did **not** come from a sale — for example money you lent someone, an expense you paid on a partner's behalf, or a refund a supplier owes you. It's the catch-all for "someone owes us, but there's no sales invoice for it." **You'll find this at:** `/accounting/debts` — in the navigation this is labelled **Debts & Money Lent** (under the Money In · Receivables group). > Sale receivables (normal customer invoices) are recorded on the Invoices screen, not here. Debts are for the **non-sale** money owed to you. Both, however, show up on the outstanding-receivables list and are cleared the same way — by recording a receipt. > 📷 *Screenshot: The Debts & Money Lent page listing outstanding receivables with their balances — to be added.* *** ## Who can do what (permissions) | Action | Permission slug | | ------------------------------- | ----------------------------------------- | | View outstanding receivables | `accounting-debts:read` | | Record a new debt | `accounting-debts:create` | | Change debt defaults (settings) | `accounting:admin` or `accounting:config` | *** ## Why the money is owed (debt reasons) Every debt has a **reason**, and the reason decides which receivable account the money is booked to: | Reason | What it's for | Booked to (receivable side) | Asks "which account did the money leave?" | | ------------------ | ---------------------------------------- | --------------------------- | ----------------------------------------- | | **Loan** | Money you lent out. | Loans Receivable | Yes | | **Paid on behalf** | An expense you covered for someone else. | Other Receivable | Yes | | **Refund owed** | A refund someone owes you. | Other Receivable | No | | **Other** | Anything else owed to you. | Other Receivable | No | > Employee salary advances are **not** recorded here — they're owned by the Advances module. "Money Lent" here is for external parties. *** ## Recording a debt **When:** the moment someone starts owing you money for a non-sale reason. ### Steps 1. Go to **Debts & Money Lent** (`/accounting/debts`) and start a new debt. 2. Fill in: | Field | What to enter | | --------------------------------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | | **Contact** | The party that owes the money. | | **Amount** | How much is owed (must be greater than 0). | | **Reason** | Loan / Paid on behalf / Refund owed / Other (see above). | | **Due date** | Optional — when the debt should be settled. | | **Source (credit) account** | The "other side" — the account the money came **from** (e.g. the bank it left). Optional: if omitted, it's resolved from your book's debt defaults. The wizard asks for this on Loan and Paid-on-behalf reasons. | | **Receivable (debit) account override** | Optional — override the reason's default receivable account. | | **Notes** | Free-text description of the debt. | 3. Save. **A debt is posted immediately on creation** — there's no separate "post" step. ### Behind the scenes Recording a debt posts a simple two-leg journal entry: * **Debit** the receivable account (Loans Receivable or Other Receivable, per the reason) — this asset records that you're owed the money. * **Credit** the source account you chose — typically the bank the cash left, or whatever account the value came out of. Because the debt posts on creation, the **period must be open**: if the period is closed or locked the debt is rejected up front, before any record or document number is consumed. Both accounts must be real, active, postable (non-group, non-frozen) accounts, and they must be different from each other. > A debt is created as an Other-Receivable invoice behind the scenes and then automatically approved and posted, which is how it reuses the same receivable + receipt machinery as ordinary invoices. *** ## Settling a debt You don't settle a debt on this page — you settle it by recording a **receipt** against it on the [Payments](/accounting/user/transactions/payments) page, exactly like paying off an invoice. When the receipt is allocated to the debt and posted: * The receipt's Accounts-Receivable credit is automatically routed to the debt's **own** sub-ledger (Loans Receivable / Other Receivable), not trade AR. * The debt's balance goes down; when fully covered it's marked Paid. *** ## The outstanding-receivables list The Debts page lists **all** outstanding receivables — both non-sale debts **and** ordinary sales invoices that still have a balance due (credit notes are excluded). This gives you a single "who owes us money" view across sale and non-sale receivables. *** ## Per-book debt defaults To avoid re-picking accounts every time, each accounting book has **debt defaults** (managed under accounting settings; requires `accounting:admin` or `accounting:config`). For each reason you can set: * a default **receivable (debit) account** — otherwise the reason's seeded system account is used, and * a default **source (credit) account** — which has no system default, so setting one here saves you typing it on every debt. There's also a book-level **default deposit-to account** — the cash/bank account the receipt modal pre-fills and the per-reason credit default falls back to when unset. If you leave a side unresolved and the book uses a custom chart with no seeded system accounts, Hitaji 360 falls back to a heuristic; if it still can't resolve a source account, recording the debt fails with a clear message asking you to set a default or pass an account explicitly. > 📷 *Screenshot: The Receivables / debt defaults settings panel with per-reason account pickers — to be added.* *** ## Reminders for overdue debts Because debts and sale invoices share the outstanding-receivables machinery, they're covered by the same **overdue reminder** system. Per accounting book you can configure (requires `accounting:admin` or `accounting:config`): * **Enabled** — the master on/off switch. * **Frequency** — how often the digest actually goes out: daily, weekly, biweekly, or monthly (the job checks daily and only sends a given book when it's due). * **Channels** — any of email, in-app, and push. * **Recipients** — either the book's finance roles, or a specific list of users. The reminder digest only fires **once per book per day** even if re-run, and there's a **Run now** action to send it immediately on demand. *** ## Working across multiple businesses Debts, their receivable accounts, and their defaults are all scoped to a single **accounting book**, and each business has its own book. Confirm you're in the right business before recording a debt — the contact, the source account, and the receivable account must all belong to that book. *** ## Related * [Payments & Receipts](/accounting/user/transactions/payments) — record the receipt that settles a debt. * [Payment reconciliation](/accounting/user/transactions/payment-reconciliation) — bulk-match receipts to outstanding receivables. * [Bank loans](/accounting/user/transactions/bank-loans) — for loans your business has **taken** (a liability), as opposed to money you've **lent** (a debt).