Does QB distiguish between interest and misc for 1099 reporting?

You'll have to manually categorize payments and map the accounts in QuickBooks Online (QBO), theresa11.

It's important to report the total payments in the correct boxes when preparing 1099-MISC forms. You can follow these steps to categorize 1099 payments to coordinate with the boxes:

1. Go to Workers and choose Contractors.
2. Click on Prepare 1099s.
3. Click on Let's get started.
4. Review the information in the Company section and click on Next.
5. Categorize accounts and payments in the Account section.
6. On the Categories page, select the checkbox next to all the 1099 boxes that fit the type of the contractor payments you make. Review the payment totals for each box. If you don’t see all of the payments you expect, check that the list shows right tax year and type of vendor (they should meet the 1099 threshold). Excluded payments are typically those paid by credit card, which are reported to the IRS by the credit card issuer.
7. Once you're done, click on Next.
8. In the Contractors section, review the contractors' information and click on Next. 
9. Click on Finish preparing 1099s and select Go to 1099 E-File Service to e-file your 1099s.

To learn more about the boxes on the Form 1099, you can check out this article: Form 1099-MISC.

Once you're done, you can prepare and file your Federal 1099s.

Let us know if you have further questions. We'll be around.