Managing Loans
Learn how to create loans, track balances, record disbursements and payments, and understand the interest calculation
Managing Loans
Loans are the core of KorLoans. Each loan belongs to a borrower and tracks the principal, interest, disbursements, payments, and remaining balance.
Creating a Loan
- Navigate to Loans in the side menu
- Tap Add Loan
- Fill in the details:
- Borrower — search and select the borrower
- Principal — the loan amount in dollars
- Interest rate — flat interest rate as a percentage
- Term — repayment period in months
- Start date — when the loan begins
- Notes — optional additional information
- Tap Add loan
Understanding the Loan Detail Screen
When you open a loan, you’ll see:
Summary Section
- Principal — the original loan amount
- Interest Rate — the flat rate applied
- Total Interest — calculated as principal x rate / 100
- Total Owed — principal + total interest
- Total Paid — sum of all payments received
- Remaining Balance — total owed minus total paid
Disbursements Section
A list of all money sent to the borrower for this loan. Each entry shows the date and amount.
Payments Section
A list of all payments received from the borrower. Each entry shows the date and amount.
How Interest Works
KorLoans uses flat interest — the simplest interest calculation method.
Formula:
- Total Interest = (Principal x Interest Rate) / 100
- Total Amount = Principal + Total Interest
- Monthly Payment = Total Amount / Term Months
Examples:
| Principal | Rate | Term | Total Interest | Total Owed | Monthly Payment |
|---|---|---|---|---|---|
| $1,000 | 5% | 6 months | $50 | $1,050 | $175.00 |
| $5,000 | 10% | 12 months | $500 | $5,500 | $458.33 |
| $10,000 | 3% | 24 months | $300 | $10,300 | $429.17 |
The interest is calculated as a flat percentage of the principal regardless of the loan term. The term only affects the monthly payment calculation.
Recording Disbursements
A disbursement records money you’ve sent to the borrower.
- Open the loan
- Find the Disbursements section
- Tap Add Disbursement
- Enter the amount and date
- Tap Save
You can disburse the full principal at once or in multiple installments.
Deleting a Disbursement
- Tap the menu icon on the disbursement
- Select Delete
- Confirm
Recording Payments
A payment records money the borrower has paid back to you.
- Open the loan
- Find the Payments section
- Tap Add Payment
- Enter the amount and date
- Tap Save
The remaining balance updates automatically after each payment.
Deleting a Payment
- Tap the menu icon on the payment
- Select Delete
- Confirm
Deleting a Loan
You can only delete a loan if it has no payments and no disbursements.
- Open the loan
- Tap the menu icon and select Delete
- Confirm
If the loan has payments or disbursements, delete those first.
Why this restriction? This prevents accidental loss of financial transaction history. It ensures you consciously review and remove all records before deleting a loan.
Frequently Asked Questions
Can I edit a loan after creating it? You can add and remove disbursements and payments. The loan terms (principal, rate, term) cannot be changed after creation — create a new loan if terms need to change.
What if a borrower pays more than the remaining balance? The remaining balance will show as negative, indicating an overpayment.
Can I have multiple active loans for the same borrower? Yes, each loan is tracked independently.
Is there a limit on the number of loans I can create? No, you can create as many loans as needed.
Need Help?
Contact our support team at support@korloans.com.