Hi! I'm setting up business as a sole trader and want to accept debit and credit card payments. How are these best recorded and how can I easily bring up lists of debit / credit cards to check merchant processing details and charges?
Hi Vincent,
Let's say you process credit cards through Barclays. You should create a new asset account called 'Barclays Merchant Account' to represent the money they have collected from customers on your behalf but not yet paid to your bank account. When you make a sale, set the Paid Into Account to this merchant account. When Barclays charge you a payment processing fee record a Money Paid Out transaction paid from the merchant account. Finally, when they pay into your bank account record a General Transaction from the Barclays Merchant Account to the Cheque Account. You can also filter the Transactions list to show only those transactions related to your merchant account.
Note that this approach is similar to recording PayPal transactions as described here:
http://www.solaraccounts.co.uk/help/how-to-record-paypal-sales-fees.php
Regards,
