Hi There, I paid an invoice with the wrong credit card. I refunded the credit card but now I need to mark the invoice as unpaid. How can I do that?

Thank you for reaching out, msheather. You'll need to create a Journal Entry first to transfer the payment to a dummy invoice, and then use a Wash account to adjust the incorrect payment method. Allow me to walk you through the steps.

First, create a journal entry to offset the payment applied to the invoice by clicking the +New icon.

Refer to this sample screenshot for your visual reference.

Additionally, if you don't have a Wash account yet, you may click the +Add new when creating the journal entry.

You’ll now unlink the invoice by assigning the incorrect payment to the journal entry. Here’s how:  

1. Hover over All apps, then Customers.
2. Locate the customer tied to the invoice.
3. Find the payment with the incorrect method under the Transaction List and click to open it.
4. Uncheck the invoice and mark the journal entry as checked to reassign it.

Once the payment is reassigned to the journal entry, QuickBooks will unlink it from the invoice, marking it as Unpaid.

Now that the invoice is unpaid, you’re all set to record the correct payment method. Navigate back to the invoice, click Receive Payment, and apply the payment using the correct card or method.

If you need anything else related to QuickBooks, don't hesitate to reply here. We're here to help.