How to apply vendor credit to bill without marking it paid?

Hello NewTo23,

Thank you for the details. I'm here to help you link the vendor credit and the bill.

Since you don't want to use the Mark as paid button, you can make use of the Pay bills option instead to apply the vendor credit. Here's how:

1. From the + New button, select Pay bills.
2. Select the bank account.
3. Tick the vendor's name. You'll see the available credit with this vendor in the Credit Applied field.
4. Click Save and close.

From there, you can match the remaining balance to the bank transactions. Below are the steps as your guide:

1. Select Bank transactions from the Transactions tab.
2. Click the tile of the bank account.
3. Select the payment.
4. Click Find match. 
5. Select Confirm.

Moreover, I've added this article as your guide in tracking expenses: Manage a line of credit in QuickBooks Online.

Don't hesitate to get back to the thread if you have other concerns about paying bills and linking vendor credits.

Thank you so much for the reply.  The 3rd party app we use imports the bills and vendor credit transactions.  Is there a way for me to apply a specific vendor credit.  It looks like it is drafting from the credit balance.

Thanks

It's nice to have you back in this thread, @NewTo23. You'd be glad to know that there's a way to apply a specific vendor credit to your bills in QuickBooks Online (QBO), and I'll be happy to guide you on how.

To choose a specific vendor credit to apply to your bills, let's go over to the Bill Payment section. Here's how:

1. Go to Expenses and click Bill. 
2. Select the Unpaid tab. Click the dropdown icon in the Action column, then View/edit bill.
3. At the upper-right corner of the screen, click Mark as paid.
4. Go to the Credits section and tick the box of the specific vendor credit you want to apply.
5. Click Save and Close.

In addition, save time on tracking and recording your receipts from vendors by uploading them to QBO. This way, you can modify the receipt, categorize it to an account, or match it to an existing transaction.

Keep me updated on your further queries by replying to this thread. I'm always available to continue assisting you. Take care, and have a good one.

Thanks for reply.  If I mark it as paid will I still be able to match it with the bank transaction?

Sorry.  I must be doing something wrong. This solution did not work.  When I marked it as paid it does not show up under my match transactions now.

I got it now.  I was doing it wrong.  I put the whole bill amount instead of only the credit amount.  Thanks so much for your help!