Because financial expenses themselves are a profit and loss account, they are generally recorded on the debit side when expenses are incurred.

Financial expenses - Interest income is recorded as a negative number on the debit side, which reflects a reduction in expenses.

If all your expenses are debited during an audit, you can see at a glance how much was actually incurred.

Interest income generated from bank deposits should be recorded as a debit in financial expenses.

Debit financial expenses (red letter)

Debit bank deposits (red letter)

Nowadays, when using financial software, the debit red letter is usually recorded in the financial expenses. . There are also cases where the credit is written in blue in the manual accounts.

Credit in blue will increase the account amount during summary, which is not conducive to financial analysis.

In other words, whether it is recorded as a debit or a credit, it is correct and the result is the same. It is just a matter of convenience and clarity.