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Reversing a bank fee

Forum|Forum|3 years ago
October 17, 2022
12 replies
146 views

My bank charged fees incorrectly and it took months for them to reverse the fee. How do I account for the credit so I can reconcile my bank account?

QuickBooks Online

Best answer by Klent

Welcome to the Community, HTAHomer.

Allow me to guide you in recording the reversed bank charge. You can create a bank deposit in QuickBooks Online to account for the bank fee reversal. Here's how:

Click the + New icon.
Select Bank Deposit.
From the Account drop-down menu, select the appropriate bank account.
Go to the Add funds to this deposit section, then select the expense account you use for tracking bank fees and charges.
Enter the amount of the credit as a positive number.
Click Save and close.

To learn more about handling bank deposits, I recommend checking this article: How to record bank deposits.

If you need more help in accomplishing your other tasks, please let me know by adding a comment below. Have a pleasant day ahead.

V

Victoria_M

Record it as a vendor credit under the original expense account (was it "Bank service charges"?).

H

HTAHomerAuthor

It was, thank you.

C

Carneil_C

Level 6

You're always welcome, @HTAHomer.

I'm glad my colleague's information was able to address your concern about recording a reversed bank charge.

If you require additional assistance with QuickBooks-related concerns, please include it in your response. We're always here to help.

Have a wonderful day!

K

KlentAnswer

Level 8

Welcome to the Community, HTAHomer.

Allow me to guide you in recording the reversed bank charge. You can create a bank deposit in QuickBooks Online to account for the bank fee reversal. Here's how:

Click the + New icon.
Select Bank Deposit.
From the Account drop-down menu, select the appropriate bank account.
Go to the Add funds to this deposit section, then select the expense account you use for tracking bank fees and charges.
Enter the amount of the credit as a positive number.
Click Save and close.

To learn more about handling bank deposits, I recommend checking this article: How to record bank deposits.

If you need more help in accomplishing your other tasks, please let me know by adding a comment below. Have a pleasant day ahead.

J

JTofu

I have a similar question but want to know how to assign the bank fee reversal from the Bank Feed.

In December 2022, I incurred a bank fee of $15 and it showed up in my Bank Feed. I created a 'Banking and Credit Card Fees' Expense account, then added the bank (Chase Bank) as the Vendor.

Now in January 2023, the fee mentioned above was reversed and I received $15 from Chase. How would I record this? And how would I categorize this in the bank feed?

Nicole_N

QuickBooks Team

Thanks for joining the thread, @JTofu. I'm here to help you record a reverse bank fee.

You can create a bank deposit in QuickBooks Online for the bank fee reversal. To do this, follow the steps shared by KLentB above.

Otherwise, check out this article for more information: Record and make bank deposits in QuickBooks Online.

After that, you can categorize them in your bank feed.

I'm also adding this article to learn how to use bank rules in QuickBooks Online: Set up bank rules to categorize online banking transactions.

You can always reach back if you have additional questions about bank fees in QBO. The Community is always here to help. Take care and have a good one!

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