Increase To Notes Receivable is an accounting term used to describe a credit that is given when money is effectively loaned between two parties. In this case, it refers to a company providing goods or services on credit and then receiving payment from the customer at some point in the future. The company will record an increase in its notes receivable account for the transaction, which goes on its balance sheet as an asset. Generally speaking, any increase to notes receivable results in both a debit to cash and a credit to accounts receivable. This ensures that both sides of the transaction are properly recorded.