Payment received to wrong customer

Aloha Christie Ann

It is correct now!

Fixed by problem and Mahalo for the Solution!!

What if you already deposited the payment and reconciled the bank account?  I don't think you can delete the "received payment" if it is linked to a deposit. 

The article in your link instructs to do a journal entry to post a debit and credit to the A/R account to correct the customer.  However, you cannot post 2 lines on a journal entry to the A/R account.  Would you have to do 2 separate journal entries with one using the wrong customer and the second using the correct customer (with some common offsetting account)?

Thanks,

Bernie

Thanks for chiming in this thread, Bernie.

In QuickBooks Online, you'll be able to do a journal entry using two A/R accounts. 

Here are the steps:

1. On the left panel, go to the + New > Journal entry. 
2. On the first line, select the Accounts Receivable (A/R) from the Account drop-down and enter the amount in the Debits column.
3. Under the Name column, select the customer's name where you want to transfer the payment.
4. Choose the Accounts Receivable (A/R) on the second line and apply the amount in the Credits column. 
5. Select the customer's name where the payment was applied. 
6. Hit Save and close.

Once done, the journal entry will be applied in both customers. You can link the journal entry to the correct invoice by creating a receive payment. 

Here's how:

1. Go to Sales > Customers.
2. Select the correct customer, and click the Receive payment link under the Actions column. 
3. In the Receive payment page, put a check mark on the journal entry and invoice boxes. 
4. Hit Save and close.

I'm also adding this article for more details: Create a journal entry in QuickBooks Online.

If you have any follow-up questions about journal entries or other concerns with QuickBooks Online, please let me know. You can leave a reply below and I'll get back to you as soon as I can. Take care and stay safe.

We are using the Quickbooks Enterprise version which does not appear to allow multiple AR entries on the same journal entry.  We get the following warning message pop up:  "You cannot us more than one A/R or A/P account in the same transaction".

Hi, @BernieJ.

Thanks for adding more details. I'd be happy to share the right thing to do based on the scenario that you have given in QuickBooks Desktop Enterprise.

Before you can delete the deposit for you to delete the payment, make sure to take note of its details, then delete the payment. Here's how:

1. Open the affected invoice.
2. There are two tabs on the right panel of the Create Invoices window.
3. Go to the Transaction tab.
4. Under RELATED TRANSACTIONS, it will show the deposit you use as the payment.
5. Click the deposit transaction. It will open the Make Deposits window.
6. Click Edit at the top menu, and select Delete Deposit (Ctrl + D).
7. Click OK to confirm the action.

Once done, you can then assign the right payment to the invoice.

Also, you can use this link on how to correct customer payments that have been deposited or reconciled. From there, there are three situations that you can relate if you encounter a scenario the same in the article, like moving a deposited and reconciled payments to the correct customer.

Feel free to drop a comment if you have additional questions. I'm happy to help. Take care!

Hi,

We are a non-profit using the desktop non profit version.  We entered a donation from a member but inadvertently used the wrong donor when recording the donation back in July.  This was discovered in January when the donor was reconciling their donations against our report/receipt.  How can this be corrected so we can provide both donors with the corrected reports for their donations?   

Thanks

Joe

Hello, Joe.

Let me walk you through the steps on how to update the transaction.

Before making any changes, please make sure to create a backup copy of your company file. Then, follow these steps to modify the transaction.

1. Go to Customers > Customer Center.
2. Select the donor's name of where the donation is posted.
3. Double-click the transaction and change the donor's name from the Customer/Job drop-down.
4. Click Save & Close. Note: If an invoice is paid, the payment will be unapplied after changing the name. You can delete the payment on the wrong donor and record it to the correct one.
5. When prompted to change the transaction, select Yes.

Once done, they can check the report for the donations and reconcile the account.

I'll share these steps to learn more about invoices, payments, and to guide you with the reconciliation process:

• Create an invoice in QuickBooks Desktop
• Record an invoice payment
• Reconcile an account in QuickBooks Desktop
• Fix issues when you're reconciling in QuickBooks Desktop

Please let me know in the comments below if there's anything else I can help you with. Have a good day ahead.