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Frequent Explorer *

Unpaid Bill to pay credit card affects credit card balance at its ledger, on the date bill was created

Once credit card is reconciled and while preparing the respective bill for partial payment later, Quickbooks assigns the credit card account on the account column of the bill, creating in turn, a payment transaction at the credit card transaction level on the date of the preparation of the bill.

 

Since the payment to the credit card is 20 days later, the balance of the credit card remains inaccurate all the time.

 

Tried to change account column to accounts payable (A/P) (se file attached) and tried to save.  Quickbooks displays "....Transactions to accounts payable must include a vendor... "so I add the name of the vendor on the customer:Job column (same vendor named on the bill....) and Quickbooks displays "   You cannot use more than one A/R or A/P account in the same transaction.

 

I know that this has to do with having the same vendor named on bill and column... but I am at a loss on how to fix it.  Any solution/ advice to fix this issue?

16 Comments
QuickBooks Team

Re: Unpaid Bill to pay credit card affects credit card balance

Appreciate the complete details of your concern, @Safeguard-pyarahuan.

 

If the payment is incorrectly entered,you have the option to delete or void the bill payments. Let me walk you through doing so.

 

  1. Open the Bill Payment.
  2. Click the Delete drop-down list.
  3. Choose either Delete Check or Void.
  4. Click Yes.

Once a bill payment is deleted,the transaction is entirely remove from QuickBooks. However, if it's void, the transaction amount will be change into zero (0.00) and it will remain associated to the original bill.

 

That should do it! You can now record a correct bill partial payment.

 

For additional insights, you may check out this article: Bill shows as unpaid after writing a check.

 

Feel free to get back to us if you have other questions about paying your bills in QuickBooks. I'm always here to help.

Frequent Explorer *

Re: Unpaid Bill to pay credit card affects credit card balance

Thanks for your offer to help @juVeil . I don't think the payment is incorrectly entered. The problem resides on the account column. Once credit card is reconciled and I choose option to enter bill, the bill adds the credit card account on the account column. This creates the issue of appearing as a payment in the credit card ledger at the time the bill was created when in reality the bill hasn't been paid. Request ids to find the solution to keep bill in A/P until is paid, and then post to the credit card ledger.
QuickBooks Team

Re: Unpaid Bill to pay credit card affects credit card balance

Good to hear again from you, @Safeguard-pyarahuan.

 

One reason your bill is paid automatically is because of an available credit for the vendor. Also, it is possible your QuickBooks is set to automatically vendor credits to your bill.

 

Let's review your account's preferences in applying bill credits. Here's how:

  1. Go to the Edit menu.
  2. Choose Preferences. 
  3. Select Bill.
  4. In the Company Preferences tab, remove the check mark for Automatically use credits.
  5. Click Ok.

 

That's it! This will allow you to enter a bill without worrying that it will be mark as paid.

 

If there are any accounting and bookkeeping features you’d like to get more familiar with, feel free to visit our Community page. I’m always here to help.

Frequent Explorer *

Re: Unpaid Bill to pay credit card affects credit card balance

Solution does not work. See attached
Frequent Explorer *

Re: Unpaid Bill to pay credit card affects credit card balance

Additional attachment on preferences
Frequent Explorer *

Re: Unpaid Bill to pay credit card affects credit card balance

Please remember: Bill remains unpaid while ledger is affected. I bet it's a bug
QuickBooks Team

Re: Unpaid Bill to pay credit card affects credit card balance

Hello there, @Safeguard-pyarahuan.

 

Please allow me to join the thread and help share a little more information so you'll be able to record the credit card payments/transactions in QuickBooks Deskop (QBDT) correctly.

 

Once you pay a bill using a credit card account in QBDT, you don't need to create a bill, you just need to record/enter a credit card charge by the time you'll be paying the transaction. Creating both a bill and entering a credit card charge will double your expenses.

 

To enter credit card charges:

 

  1. Click on the Banking menu.
  2. Select on Enter Credit Card Charges.
  3. Fill in the necessary information.
  4. Click Save and close.

In your case, you can delete the bill you've created and just record a credit charge directly.

 

To learn more about setting up, using, and paying credit card accounts in QBDT, you may check this article: Set up, use, and pay credit card accounts.

 

Please feel free to add a post/comment below if you have any other questions about credit card charges. I'll be around to help you!

Frequent Explorer *

Re: Unpaid Bill to pay credit card affects credit card balance

Thanks for your comment Angeline. I think this is not clear for you “... Once you pay a bill using a credit card account in QBDT, you don't need to create a bill, you just need to record/enter a credit card charge...” Am not paying a bill using a credit card. I am reconciling credit card statement and setting bill for future payment which affects credit card ledger. Best, P
Frequent Explorer *

Re: Unpaid Bill to pay credit card affects credit card balance

Thanks for your comment @Angelyn_T. I think this issue is not clear for you “... Once you pay a bill using a credit card account in QBDT, you don't need to create a bill, you just need to record/enter a credit card charge...”. I am not paying a bill using a credit card. I am reconciling credit card statement and setting bill for future payment which affects credit card ledger. Best, P
Frequent Explorer *

Re: Unpaid Bill to pay credit card affects credit card balance

If you prefer, please feel free to call at [removed] so I can set up a Skype for business session to show the issue first hand. 

QuickBooks Team

Re: Unpaid Bill to pay credit card affects credit card balance

Welcome back to our forums, @Safeguard-pyarahuan,

 

Allow me to step in for a moment and share additional insights on handling credit card payments in QuickBooks.

 

If you already reconciled your credit card account, you can correct the outstanding balance by creating a check. Here's how:

  1. Click the Banking menu and choose Write Checks.
  2. Select the account you want to use for paying the credit card from the Bank Account drop-down.
  3. Enter the Date of your payment.
  4. In the Pay to the order of drop-down, add the name of your credit card company.
  5. Enter the amount of payment.
  6. Tap the Expenses tab and select your credit card account.
  7. Hit Save & Close.

That's it! Your payments will show up in your credit card register along with your charges, so you can reconcile the account as normal.

 

Please update me on how it goes or if you need further assistance with your credit card payments. I'll be keeping an eye out for your response. Cheering you and your business to continued prosperity!

Frequent Explorer *

Re: Unpaid Bill to pay credit card affects credit card balance

Thanks for your comment @Jen_D. Clearly the issue is not understood also by you, so I assume I am the one not explaining it well. Please feel free to give me a call so I can walk you through the bug at Quickbooks. I’ll try to call you guys tomorrow. Probably that’s the correct course of action.
QuickBooks Team

Re: Unpaid Bill to pay credit card affects credit card balance

Allow me to step in and offer my helping hands, Safeguard-pyarahuan.

 

Just want to check if we're on the same page, are you trying to pay your credit card by recording bills in advance? Any information you can add will be appreciated.

 

However, if you wish to discuss this more on a secured environment, you can directly contact the QuickBooks Desktop Customer Support Team through the steps on the link. They can utilize the screen sharing tool which allows them to view your company file.

 

Let me know how it goes or if you have any follow-up questions. I'll be here if you need further assistance. Have a good one.

Frequent Explorer *

Re: Unpaid Bill to pay credit card affects credit card balance

Sorry for the delay in replying @HoneyLynn_G I was traveling. this is what is happening in chronological order: 1.- Receive statement from credit card 2 .- I reconcile it 3.- When reconciliation is finished, I take the option to create a bill for future payment 4.- I Enter the amount in the bill (see the bill on attachment) 5.- When I save it, the payment is recorded in the credit card ledger (see highlight on the ledger on attachment) This creates the issue of having the balance of the credit card incorrect for the month. What I am looking for: How can I enter the bill without affecting the balance of the credit card (example: applying future payment to the A/P account) Per mentioned before: When I try to change account on bill to A/P, the system asks me for the name of vendor, so I add it in the customer:job column, (see attachment) when I try to save it again, system tells me that I cannot add more than one A/R or A/P account in the same transaction (see attachment) Hope the whole situation is clearer now. new attachment below with screenshots of the issue
QuickBooks Team

Re: Unpaid Bill to pay credit card affects credit card balance

Hi again, Safeguard-pyarahuan.

 

I appreciate you getting back to me and providing more details about your reconciliation and bill inquiries.

 

Ideally, a bill transaction doesn't show on the ledger unless it's already paid. However, selecting a Credit Card account under the Expense tab will automatically affect your CC ledger. 

 

Choosing the Enter a bill for payment later option will move the balance in the credit card account to Accounts Payable. Please take note for businesses using Cash Basis that bill and bill payments for credit cards may show as unapplied cash on the Profit and Loss report.

 

If you wish to enter the bill without affecting the balance of your credit card account, you can set up a clearing account. Through this, the bills will not yet affect your CC balance. For detailed instruction, you can open and follow this link: Set up a clearing account.

 

I also recommend reaching out to your accountant to ensure the best course of action for your organization.

 

Please let me know how it goes or if you have any follow-up question about reconciliation. I'll be here if you need further assistance. 

Frequent Explorer *

Re: Unpaid Bill to pay credit card affects credit card balance

Thanks @HoneyLynn_G. Let me try out the clearing account route tomorrow and see how that works. Thanks for your interest to help resolve this ledger nuisance.