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Level 1

Vendor refund to credit card (Quickbooks online)

How to enter Vendor refund to credit card on outstanding credit memo
We entered a bill for a vendor invoice that was prepaid with a credit card.  We then were issued a credit from the supplier for overcharged freight and we entered that as a credit memo. The supplier then refunded the amount of the credit to our credit card. 

How do we we handle this in QB? There's an outstanding credit memo on the vendor account and we need to somehow apply the refund to the credit card and the credit memo. 
11 Comments
Level 15

Vendor refund to credit card (Quickbooks online)

plus menu vendors>credit card credit

use accounts payable as the account for the amount received and enter the amount, save

use pay bills, select the bill the CC credit created and apply the vendor credit, save

Level 1

Vendor refund to credit card (Quickbooks online)

I was not able to save the transaction, a transaction amount must be set.  Thanks

Level 2

Vendor refund to credit card (Quickbooks online)

I have the same exact question- I was provided a Vendor Credit Memo from the Vendor, after already processing an invoice payment. 

 

The Vendor then used the credit memo to pay another invoice, which left an open credit. 

 

The vendor then refunded the difference, however I cannot seem to match this to the credit memo, and when I add it from the Bank transactions, it applies it as a negative number. 

 

I went in an deducted the amount from the credit memo- and while that brought the balance back to $0.00, it didn't seem like it was the correct way to process the Vendor refund to credit card. 

 

When I tried to apply the "Bank Deposit" steps to process to this transaction, it did not allow me to select the Credit Card account as the account to deposit the refund into. 

 

 

 

 

 

 

Moderator

Vendor refund to credit card (Quickbooks online)

Thanks for sharing enough details of your concern, Sundewurks.

 

No need for you to process a refund since making a deposit will zero out the balance. When your vendor pays the bill using the vendor credit, you can deposit them right away.
 

Here's how to do it:

  1. Click the +New button.
  2. Select Bank Deposit under Other.
  3. Select name in the Received from column.
  4. In the Account column, select Account Payable and enter the refund amount.
  5. Click Save and New.

account payable.PNG

 

Once done, let's go to Pay bills to match the deposited amount. All we have to do is locate the amount and vendor that you've entered into the deposit. Then, put a check mark and click Save.

paybills.PNG

 

For more details related to your concern, you can check out here.

 

Get back to me anytime if you need help when managing transactions in your book. Have a good one!

Level 2

Vendor refund to credit card (Quickbooks online)

In the account space at the top left hand it won't let me choose the credit card account. In your example your account is set to 'sample', this is where users are getting stuck. If I want to deposit it back to my bank account great, if I want it on my credit card there is no option here unless I turn my credit card into a bank account, which causes a second problem in my chart of accounts and reporting. I believe it just doesn't work and I'm better off with a journal entry to DR Credit Card, CR Expense acct than an entry that uses the supplier credit module. 

QuickBooks Team

Vendor refund to credit card (Quickbooks online)

Hello, @accounts251.

 

If the refund that you've received was posted to your bank account, then choose to record it through Bank Deposit. However, if you've got it through credit card, then record it through Credit card credit

 

Adding it through journal entries also works perfectly in recording this vendor refund. 

 

To know more about this, check these articles:

Let us know if there's anything that you need. I'm always here to assist. Have a wonderful day!

Level 1

Vendor refund to credit card (Quickbooks online)

Hi Rustler,

 

Everything went fine until I started reconciling my credit card account. Now I have a bunch of CC Bill Payment "Charges" that are hanging at the top of the list every time I'm reconciling the account with the statement. Do I have them charges increasing or lowering my expenses? It is 0.00 in Accounts Payable account when I look at the register. Please advise.

 

Thank you,

Val

Level 1

Vendor refund to credit card (Quickbooks online)

Duplicate

Level 1

Vendor refund to credit card (Quickbooks online)

My question is this:

 

We don't use credit cards for the business, we have debit cards issued from the bank.  Our books got messed up and I'm trying to get them straight before tax season.  I've come across refunds from The Home Depot, where it was refunded back to the debit card that used it, and in essence, the money was credited back to our account.

Now that I'm trying to get rid of all the duplicate entries, every time I come across one of these refunds, it will not allow me to choose the checking account that it was credited back to.  It was only letting me choose "Home Depot Credit Card - Quickbooks"

I went in and changed this account to the business checking account, thinking that would solve my problem.  Well, it didn't.  Now for the account type, I can only choose "Credit Card" (remember, this is a debit card from our CHECKING Account).

How do I fix this and fix it fast before I pull out my hair.

Level 1

Vendor refund to credit card (Quickbooks online)

Duplicate

Moderator

Vendor refund to credit card (Quickbooks online)

I appreciate you joining in this thread, ACWorxLa.

 

The refunds you're trying to get rid of is most probably a credit card credit type of transaction. The reason why QuickBooks lets you choose the "Home Depot Credit Card". 

 

To get this sorted out, you can choose the credit card and transfer them to your checking account or you can delete the duplicate entries by following the steps below:

 

  1. In the left navigation tab, click on Transactions and choose Banking.
  2. In the For Review tab, select the duplicate transactions. 
  3. Hit on the Exclude button.
  4. Go to the Excluded tab, select the duplicate transactions.
  5. Hit the Delete button.

 

Check out this article to know more about this process: Exclude expenses from downloaded bank transactions.  

 

You might want to visit the links below. This will provide you with resources and videos about managing your QuickBooks Online account, income, and expenses:

 

Video Tutorials

Resource Hub

 

Let me know how it goes by leaving a comment below. I’ll be here to keep helping. Have a good one.

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