There are two methods of doing writeoffs:
(1) A writeoff in which the balance of the loan is reduced or goes to zero. In this case, you are telling the program that the loan (or some monetary portion of the loan) is uncollectible and the loan balance will be reduced or go to zero accordingly. To do this type of write-off, submit a transaction with the transaction type of Writeoff, with the amount being the dollar amount being written off.
(2) A writeoff in which the balance of the loan is not changed, and there is only a loan status change (generally from "current" or "past due" to "writeoff"). In this case, you are telling the program that the loan is still collectible and the loan balance will continue to show up as due. To do this type of write-off, submit a transaction with the transaction type of Writeoff, with the amount being zero.