Refund a customer with a check

Good day, TammieMB. 

I'll guide you on how to create a refund in QuickBooks Online.

We can create a check in QuickBooks to record the refund, reduce your bank's balance, and offset the customer's overpayment.

Here's how:

1. Click on + New.
2. Choose Check. You can also switch to Accountant view first if you're in Business view, then come back to these steps.
3. Select the customer you want to refund from the Payee ▼ dropdown.
4. From the Payment account ▼ dropdown, select the bank account where you deposited the overpayment to.
5. On the first line of the Category column, select Accounts Receivable.
6. Enter the amount of the refund in the Amount field.
7. Complete the other fields as you see fit, then select Save and close.

Once done, we need to link the refund to the customer's overpayment.

Like this:

1. Click on + New.
2. Choose Receive payment.
3. Select the same customer you used for the check or expense when recording the refund.
4. Complete the other fields as you see fit.
5. Under the Outstanding Transaction section, tick the checkbox for the Check you created when recording the refund.
6. Make sure the payment is equal to the open balance, then select Save and close.

For more details about the refund process, check out this link: Record a customer refund in QuickBooks Online.

I've added this article if you need to print the refund check: Print a check in QuickBooks Online.

Let me know if you have other concerns or questions about processing the customer refunds. I'll get back to you as soon as possible. Keep safe!

Please help!!, Step 4 under Link the refund to the customer's overpayment is NOT CLEAR to me

1. Step 4. Complete the other fields as you see fit.

   When I choose Receive Payment...What am I supposed to put in the: Payment Method, Reference # and Deposit to boxes

And, do I not need a Refund Receipt when I follow the steps you put down?

Please remember that I want to refund a Sales Receipt that went through QB payments with a check.

Thank you for your additional help and clarification.

Hello there, TammieMB.

Thanks for getting back to us and considering following the steps shared by my colleague. I'm joining here to help you process your customer refund with a check in QuickBooks Online.

First, we'll need to void the sales receipt paid by credit card. Here's how:

1. Go to the Sales menu.
2. Select All Sales.
3. Open the sales receipt you want to void. 
4. Click More. Then, Void.
5. Hit Yes to confirm.

Next, since the customer paid you with a credit card, we can create a refund right from the sales receipt. The steps below will guide you through the complete steps.
 

1. Still, go to the Sales menu. 
2. Within All Sales, find and select the sales receipt.
3. In the footer, select More, then Refund.
4. A refund receipt opens with all of the information from the customer form automatically filled in, such as payment method, the refunding account, and customer details. Verify that everything looks correct.
5. In the Payment method field, make sure to choose Check or the correct one.
6. Click Save and close.

The other way around is going to the +New button and select Refund receipt. For additional details, please check this article: Void or refund customer payments in QuickBooks Online.

Lastly, the resources below help you manage your customer's data and company's income:

• Record a customer refund in QuickBooks Online
• Sales and customers.
• Add, organize, and send invoices.

Feel free to post another one if you have more concerns about recording transactions in QuickBooks. We're all right here to help. Take care and have a good one!