How do I record a bank rejected payment

Hello @laurie29111,

Thank you for dropping by here in the Community. I can help you track the rejected payment in QuickBooks Online.

You'll need to review the payment from the original invoice to determine the Deposit To account. The account should match with the service item you create for tracking the rejected bank transfer.

Please follow these steps:

1. Open the original invoice.
2. Press the payment link in the upper-right corner.
3. Click the date. 
4. Take note of the Deposit To account. 
5. Close the window and go to your products and services list.
6. Edit the Rejected bank transfer service item.
7. Choose the correct income account (it should match the Deposit To account from the payment). 
8. Hit Save and close.

After completing the steps above and creating a new invoice, the system should allow you to move the payment. Let's proceed with opening the original invoice and editing the payment.

Here's how:

1. Open the original invoice.
2. Press the payment link in the upper-right corner.
3. Click the date. 
4. Uncheck the original invoice, then put a checkmark to the new one. 
5. Hit Save and close, then Yes. 

For more information, as well as how to charge your customer for the failed payment fee, I recommend the following article (scroll down to Step 5): Handle a rejected or failed bank transfer payment.

Fill me in if you have additional questions about tracking the rejected customer payments in QBO. I'm always here to help. Take care always.