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July 1, 2026
Question

i transfer money too and from 2 accounts which are linkjed in quickbooks these are showing as equity ,when they are not how do i change this please

  • July 1, 2026
  • 2 replies
  • 127 views
as above

2 replies

QuickBooks Team
July 1, 2026

Are those transferred transactions showing up in your bank feeds, but trying to categorize them shows the account as equity? If so, you can fix this by updating the account types in your Chart of accounts so your transfers categorize correctly.

 

To check and change your accounts, follow these steps:

 

  1. Click the Gear icon at the top and select Chart of accounts.
  2. Find the two accounts you use for these transfers.
  3. Check the Account Type column. If it says Equity, click the dropdown arrow next to View register and select Edit.
  4. Change the account type to Bank or Credit Card, depending on the account.
  5. Select Save.

 

If the transactions already appear in your bank register as equity, you can edit them directly from your register to fix them.

 

Here's how to change the existing transactions:

 

  1. Click the Gear icon at the top and select Chart of Accounts.
  2. Find the equity account.
  3. Click View register under the Action column.
  4. Find the transfer transaction and click it.
  5. Select Edit, then choose the correct accounts in the Transfer Funds From and Transfer Funds To fields.
  6. Click Save and close.

 

If you meant something else, feel free to reply below with more details.

JsmithCO
New Member
July 1, 2026

What you are seeing usually means the accounts themselves are set up with an "Equity" detail type, or the transfers are being categorized to an equity account rather than between two bank accounts. The fix is to correct the account type on the affected accounts, which will reclassify everything posted to them.

Go to **Settings (gear icon) > Chart of Accounts**, find each account that should be a bank account, and click the dropdown arrow on the right, then **Edit**. Change the **Account Type** to **Bank** and set the **Detail Type** to **Checking**, **Savings**, or **Cash on hand** as appropriate. Click **Save and close**. QuickBooks Online will move the account out of Equity on your Balance Sheet and into the Banking section.

If the transfers themselves were recorded to a separate equity account (rather than between the two bank accounts), open each transfer transaction and make sure the "Transfer Funds From" and "Transfer Funds To" fields point to the correct bank accounts -- not to an equity account.

One thing to check before making changes: if these accounts were intentionally created as equity accounts by whoever set up your file, changing the type can affect prior-period reports. If you are unsure, we recommend running a Balance Sheet for the current period and a prior period so you can compare the before and after, and consult your accountant if the accounts were set up that way for a reason.

After correcting the account types, pull up your Balance Sheet again to confirm the balances now appear under Bank Assets rather than Equity.

QuickBooks ProAdvisor | 20 Years of Experience Bookkeeping • QBO Setup • Cleanup • Reconciliations • Financial Reporting