Why won't the system let me make a bank deposit into undeposited funds? It keeps saying"Select a bank account for this Deposit" Which has already been selected. Help??

Hello, margo.

I'm here to help you provide clarity and guide you with the correct process.

The Undeposited Funds account acts as a temporary holding place for payments received from customers before they are deposited into a specific bank account. The error message you received indicates that QBO needs to know which actual bank account the money from the Undeposited Funds is being moved to.

If you're trying to deposit a payment into Undeposited Funds account, follow these steps instead:

1. Go to the original Receive Payment or Sales Receipt window. 
2. Look for the Deposit to dropdown menu. 
3. Select Undeposited Funds. This puts the money into the temporary holding account.

When you physically take the collected payments to the bank, you need to record a "Bank Deposit" in QBO. It is where you link the funds from the Undeposited Funds account to the actual bank account. Follow the step-by-step process in this article: Record and make bank deposits in QuickBooks Online. 

Please don't hesitate to reach out to us here in the Community forum with any other questions or concerns.

Hi margo,

I just wanted to follow up to check if the resolution we provided helped resolve your issue.

Please let us know if everything is now working as expected or if you're still experiencing any problems.

we'll be glad to assist further if needed.