Apply Credit to multiple invoices

Augustine B · ‎October 16, 2022

Hi, I need to pay 4 invoices, using 2 credits. One credit amounts is larger and other 3 is smaller than individual invoice . HOWEVER, the total amount due from all 4 bills is lesser than the 2 credits I have to use. How can I use all 2 credits to pay all 4 invoices?

Any help would be much appreciated.

Kevin_C · ‎October 16, 2022

Thanks for clarifying your product, @Augustine B. This helps me to ensure that I can provide accurate steps on how to apply your credits to multiple invoices in QuickBooks Online (QBO).

In QBO, you can choose what credit/s to apply to specific invoices that you'll be paying. Just navigate to the Receive Payment window, then choose a customer from the dropdown. You will then see the invoices under the Outstanding Transactions section and the existing credits under the Credits section.

You'll want to follow these steps to proceed:

Click the + New button, then choose Receive Payment.
Select the customer in the Customer dropdown.
Under the Outstanding Transactions section, select the open invoice you want to apply the credits to.
In the Credits section, select the credit memos you want to apply to.
For the open invoice in the Payment column, enter how much of the credit you want to apply.
Fill out the rest of the form, including the Payment date.
Make sure the total is correct after applying the credit memo. Once done, click Save and close.

For more information about this process, please refer to this article: Create and apply credit memos or delayed credits in QuickBooks Online. This resource also includes steps on how you can enable the auto-apply credits to customers' balances or open invoices.

Please let me know how it goes or if you still have other questions about applying credits to multiple invoices in QBO. Simply tag me in your reply and I'll get back to you as soon as I can. Keep safe!

View solution in original post

BigRedConsulting · ‎October 16, 2022

It's hard to tell what product you're using as you selected three.

If Desktop, just apply the credits using Pay Bills. It doesn't matter if they're less than or more than the bills due, or if there are one or many. If the credits fully pay the bills, then no bill payment will be created.

Augustine B · ‎October 16, 2022

Hey sorry, I am using Quickbooks Online.

Kevin_C · ‎October 16, 2022

Thanks for clarifying your product, @Augustine B. This helps me to ensure that I can provide accurate steps on how to apply your credits to multiple invoices in QuickBooks Online (QBO).

In QBO, you can choose what credit/s to apply to specific invoices that you'll be paying. Just navigate to the Receive Payment window, then choose a customer from the dropdown. You will then see the invoices under the Outstanding Transactions section and the existing credits under the Credits section.

You'll want to follow these steps to proceed:

Click the + New button, then choose Receive Payment.
Select the customer in the Customer dropdown.
Under the Outstanding Transactions section, select the open invoice you want to apply the credits to.
In the Credits section, select the credit memos you want to apply to.
For the open invoice in the Payment column, enter how much of the credit you want to apply.
Fill out the rest of the form, including the Payment date.
Make sure the total is correct after applying the credit memo. Once done, click Save and close.

For more information about this process, please refer to this article: Create and apply credit memos or delayed credits in QuickBooks Online. This resource also includes steps on how you can enable the auto-apply credits to customers' balances or open invoices.

Please let me know how it goes or if you still have other questions about applying credits to multiple invoices in QBO. Simply tag me in your reply and I'll get back to you as soon as I can. Keep safe!

Emmanuel Santiago · ‎March 01, 2023

It only work for the same customer. but if you received a high payment for more than one customer then you cannot apply the credit to someone else.

Is there a way to apply someone else credit to another customer?

MaryLandT · ‎March 01, 2023

Thanks for joining this thread, Emmanuel Santiago.

I can walk you through the steps about how to apply a credit to another customer. To start, let's create a journal entry to transfer the credit.

You can follow the steps I've outlined below.

Click + New, then choose Journal Entry.
Enter the Journal date.
On the first line item, choose Accounts Receivable (A/R) from the Account drop-down list.
In the Debits field, enter the amount being transferred.
From the Name drop-down list, select the name of the customer the credit is being transferred from.
On the second line item, select Accounts Receivable (A/R) from the Account drop-down list. The credit amount and the memo auto-populate.
From the Name drop-down list, select the name of the customer to whom the credit is being transferred.
In the Memo field, note the reason for the journal entry.
Click Save.

Once done, apply the credit to the customer. You can follow the same steps provided by Kevin_C. Or browse this article for complete instructions: Learn how and when to give a credit memo to customers.

Tracking customers' outstanding balances is important to your business. With this, you can run aging reports to see an overview of who is falling behind their payments, how much are still due, and how long they're past due. Please browse this article for reference: Learn how to create and customize accounts receivable aging reports in QuickBooks Online.

I'm always here ready to help if you have any other concerns managing invoices and credit memos in QuickBooks. Have a good one and stay safe.

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Apply Credit to multiple invoices