Bank Account Type

Bank Account Type is a short list that labels what kind of account a Bank Account is: Current, Savings, Fixed Deposit, Loan or Overdraft. It carries only a name and posts nothing. It is useful for filtering the Bank Account list and for reminding whoever makes payments which accounts are operating accounts and which are deposits that should not be touched. Create the handful of types you have and pick one on each Bank Account. An overdraft account is still a GL account of type Bank; its credit balance simply shows as a liability on the Balance Sheet when the account is placed under liabilities.

1. 01Go to Banking > Bank Account Type > New.
2. 02Enter the type name, for example Current, and Save.
3. 03Open each Bank Account and pick the type in the Bank Account Type field.
4. 04Filter the Bank Account list by type when you need, for example, only deposit accounts.

Create under Accounts > Bank Account Type and pick it on each Bank Account.

Type Current for the main operating account.