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Jeweledraven
September 19, 2022
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Credit cards with several linked cards

  • September 19, 2022
  • 1 reply
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I work for a company that utilizes several credit card accounts and each account has a parent card with several linked cards. The linked cards add to the balance of the parent card.

In the bank feeds, I see each linked card's purchases, which adds to the balance. Payments made are only applied to the parent card. So when I look at the balance sheet, the linked cards call carry a balance and the parent card has a negative balance, and the total result is more or less the actual balance reported by the credit card company.

Is there a way to accurately convey the balances of each card or am I worrying about something that doesn't 100% matter because the total is correct. Thanks for the advice.

Best answer by Adrian_A

Hi Jeweledraven,

 

You'll just have to reconcile the parent account because all transactions in the subaccounts roll up into it. If you have several subaccounts under your credit card account, you'll have to create a parent account and then have each card set up underneath as a subaccount.

 

More details about this function are shared here: About bank or credit card sub-account setup.

 

Here's more information on how to reconcile your accounts after organizing them: Reconcile an account in QuickBooks Online. 

 

You'll also want to run a reconciliation report after the process is complete. Here's an article on how you can do it: How do I view, print, or export a reconciliation report?

 

I'm just right here if you have additional questions.

1 reply

Adrian_A
Adrian_AAnswer
September 19, 2022

Hi Jeweledraven,

 

You'll just have to reconcile the parent account because all transactions in the subaccounts roll up into it. If you have several subaccounts under your credit card account, you'll have to create a parent account and then have each card set up underneath as a subaccount.

 

More details about this function are shared here: About bank or credit card sub-account setup.

 

Here's more information on how to reconcile your accounts after organizing them: Reconcile an account in QuickBooks Online. 

 

You'll also want to run a reconciliation report after the process is complete. Here's an article on how you can do it: How do I view, print, or export a reconciliation report?

 

I'm just right here if you have additional questions.

J
JeweledravenAuthor
September 19, 2022

Then for clarification, the people who originally set up the chart of accounts made the account with the card name and then made all the cards attached to the account (including the parent card) as sub-accounts with the name of the user below the account. Was this the best way to set up the chart? Or would it have been better to not have the parent card be listed amongst the sub-accounts

 

And does any of this address the bank feed showing for instance on a sub-account Bank Balance of $0.00 and a Quickbooks Balance of $1,000,000 (not real numbers, just for illustration).

Rubielyn_J
Rubielyn_J
September 19, 2022

I appreciate you for getting back to this thread, @Jeweledraven. Let me chime in and clarify things for you. 

 

The parent account is needed when reconciling in QuickBooks. It'd be best not to have the parent card listed as a sub-account.

 

The most common way to set up a bank account or credit card account with multiple cards associated with it is to create a parent account and then have each individual card set up underneath as a subaccount.

 

Since the parent card is set up as a sub-account, then the records are not true to life. To learn more about the setup of parent and sub-account, I suggest reviewing this article: About bank or credit card subaccount setup.

 

Once everything is settled, you can start reconciling your account in QuickBooks Online. 

 

Feel free to comment below if you have further questions about setting up accounts with multiple link cards. I'll be here to help you out. Keep safe!

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