Double payment involving prepaid customer account but customer prepaid deposit account was not applied to Sales order or Purchase Order

I've got you covered, @dgrab.

Let me walk you through how to set up and create a refund in QuickBooks Desktop. This helps record a credit to your customers.

To start, we need to create a credit memo. Here's how:

1. Go to the Customers menu, and then click Create Credit Memos/Refunds.
2. From the Customer:Job drop-down, choose your customer.
3. Enter the items you're giving credit for, then select Save & Close.
   
   

In the Available Credit window, select Give a refund. You can issue the refund in cash or a check. If your customer used a credit card, learn how to refund a credit card payment. Lastly, click the OK button. The check is filled out automatically, you just have to click OK.

The next step is to link the check to the overpayment. Here's how:

1. Go to the Customers menu and then click Receive Payments.
2. Choose the Customer from the Received from drop-down menu.
3. Select the Discounts and Credits icon.
4. In the Available Credits section, choose the check you created and then click Done.
5. You may see a prompt to Confirm transfer. If you do, select Yes. The amount will be applied automatically to the invoice.
6. Once done, click Save & Close.

Additionally, you may consider how to void or refund customer payments in QuickBooks Desktop.

Please let me know if you have any additional questions about the process. I'm a few clicks away to help. Have a good Friday.

Hi, @dgrab.

Hope you’re doing great. I wanted to see how everything is going about the concern with setting up the refund you had the other day. Was it resolved? Do you need any additional help or clarification? If you do, just let me know. I’d be happy to help you at any time.

Looking forward to your reply. Have a pleasant day ahead!

I so appreciate your help.  Thanks.