QBO: Customer Chargeback but Invoice Still Showing Paid

Thank you! I’ve completed the refund receipt. However the original invoice still shows paid. What is the best way to correct the original invoice? Or should I create a new one?

Hello, cpPOA.

Thanks for keeping us in the loop regarding the chargeback transaction. I'll take it from here and give some details on what to do after recording the refund receipt. 

You'll simply want to leave the original invoice as is. You've already recorded the chargeback through the refund receipt. 

Now if you want to send a new invoice, you'll simply want to create another one if you still want to push through the transaction. 

If the customer has no plans of paying their rendered service, you can write it off as a bad debt. This article will explain the detailed process of handling it in QuickBooks: Write off bad debt in QuickBooks Online.

Need to check your sales report and see your cash flow from your customers? I would recommend checking out the articles from our Sales reports topic page. 

You're more than welcome to add any other concerns you might have in handling your customer transactions. Do you have more question on other areas in QuickBooks? Please let me know and I'd be glad to help. 

I have a chargeback response I sent to [email address removed] and it bounced back ?

This is it, can you provide me with a status.

[company name removed]

[email address removed]

[phone number removed]

                                                                                                            10/12/2022

Dispute Response Due by November 1st, 2022

Hello [name removed],

One of your customers disputed a payment, so their card issuer reversed it. We know that disputes (also called chargebacks) can be painful. That’s why we’re here to help.

Dispute Response Due by November 1st, 2022

Transaction# MQ0121972289

Card Holder [cardholder's name removed], [address removed]

CC# [last 4 removed] Mastercard

Amount $769.93

Fee $ 25.71

Date Stamp 9/23/2022 07:17 Am

I do not know the case number but with this information you should be able to locate it.

Mr Lloyd, had contacted me about an Antelope Hunt in Colorado on one of my Hunt providers ranches.

Mr Lloyd completed a contract, See Attached.

Mr [business name removed] had contacted Greg [last name removed] (ME) numerous tim4es, with questions and the Hunt providers contact information.

Mr Greg [last name removed] had even sent him an Email with it for his reference.  Mr Greg [last name removed] asked him to call the Hunt provider and sync up with him. He never did so prior to him hunt date.

I advised him to call the outfitter when he gets to Craig Colorado for his hunt so the Hunt Provider would know he was in town ready to do his scheduled hunt. (See Email.)

As it turned out when he got to his reserved Hotel room, that he reserved, he never called the Hunt provider to let him know that he was in town for his hunt. Therefore no one even knew he was in town. After approximately 2 days he went home.

When he threatened the Chargeback, he advised Greg [last name removed], the reason he did not call the hunt provider as directed to do so, when at his hotel room in Craig Colorado was because he forgot to bring the contact information with him to make contact.

The Standard procedure we always use is to have the Hunter call the Hunt provider when he is booked to sync everything, Mr [business name removed], did not do that even though he was advised to many times.

Additionally the Hunter must call the Hunt Provider when he is at his motel so the Hunt Provider is aware he is there and again they could sync and do the hunt. Mr Lloyd did not do that either.

Mr [business name removed] did not meet his obligation as to call the Hunt Provider prior to the hunt or when he arrive at his room, as he explained he forgot the contact information at home.

This is obviously the fault of him doing what he was told over and over and never making contact with his Hunt Provider.

In addition the contract Agreement My [business name removed] agreed to, then he had broken several items.

#3, #4, #7, #8, #17, #22

Please contact me if you need anything else.

             Greg [last name removed]

             Legal Department Manager

             [business name removed]

             [website removed]

             [email address removed]

             [business address removed]

          [business address removed]

             [cellphone removed]

Hi. 

To inform you that we removed the attachment that has personal information. 

To begin, there are some reasons why your emails bounced when sending them to your customers. I'd like to share them with you and help you from there.

• The email address was entered incorrectly.
• There was a temporary issue with the recipient's email server.

To get this resolved, let's view the list of bounced emails with delivery errors. Here's how:

1. In your QuickBooks Online, click Dashboard from the left menu.
2. Under the Task section, select View the errors.
3. From the Delivery Method, review the email of the customer if it's entered correctly.
4. If not, please enter the correct one and click Send.

I'm adding these articles for more details:

• Undelivered Invoices in QuickBooks Online.
• How to view a list of bounced emails with delivery errors.

Regarding your chargeback, this will occur when a transaction we processed gets disputed and the money goes back to the payer.

If we need more help handling chargeback, I recommend contacting our QuickBooks Payments Team. They can pull up your account and provide more details about the status.

For more information about chargebacks, here's the article that we can open: Handle chargebacks and retrieval requests for QuickBooks Payments. 

We can also visit the Chargeback FAQ page. This includes frequently asked questions about chargebacks and rebuttals. 

Please let me know if we have additional questions about your bounce back email and chargeback. We can reach out to the Community at any time. Take care!

this is not really answering the problem. Does QBO reflect the status of an invoice when it was disputed? If not your system cannot be relied on.

Hello there, @deepak2508.

In QuickBooks Online (QBO), there's a red "Needs Attention" alert shown in the invoices when it's disputed. We can remove this alert by voiding or deleting the invoice, then creating a new one.

Here's how:

1. Go to the Sales menu, and select Invoices.
2. Find the invoice(s) that has the "Needs Attention" alert.
3. Click the Action column drop-down arrow, then select Void or Delete.
4. Hit Yes to confirm.
   

To know more about when to delete or void an invoice, refer to this article: Void or delete transactions in QuickBooks Online.

Once done, you can now recreate the invoice.

I've added this link about personalizing and adding specific info to your sales forms: Customize invoices, estimates, and sales receipts in QuickBooks Online.

Don't hesitate to post again if you have other questions about your invoices. I'm always here to assist. Keep safe.

thank you for the response @Maybelle_S 

I should have clarified that we are using the Payments API and we can't find a way to know when a charge is being disputed. there is no way to be notified, or any change in the information coming about the transaction in the API. the balance won't change and QBO API is not providing a transaction status (which is a whole issue on its own). How do we, the developers of businesses who build our products' finances directly into QBO via the API can be notified of disputes? 

Today we relay on the Balance section of the JSON, which is entirely inadequate and lacking ion accuracy. With credit card transactions the balance updates to 0 and stays that way even when later the transaction status changes. In ACH the Balance is showing 0 (Paid) before the money is leaving the payer's bank and before the time that the payer can cancel that transaction.

You have a lot to learn from Stripe and we are seriously considering changing our merchant provider because of QBO's lack of attention to the intricacies of managing a healthy balance sheet.

I hear your sentiments, @deepak2508.

Thanks for adding details regarding your concern. Let me route you to the best support to assist you with this QuickBooks Online API concern.

While the QuickBooks Community can provide answers and troubleshooting solutions to specific questions, there are some things about which only our Intuit Developers can provide specific information about your concern.

We have a separate forum where you can interact with fellow developers, product experts, and engineers about software, QuickBooks API concerns, or developer license-related questions. That said, I encourage posting this question to our Intuit Developer Community. They have the tools and resources available to assist you with your concern.

Here's how:

1. In your browser, enter this link: https://help.developer.intuit.com/s/
2. Choose your QuickBooks product.
   
3. Select the Ask a Question option.
   
4. Press Sign In.
5. Use your Intuit login credentials.

Additionally, I’m adding this resource where you can access our self-help articles: QuickBooks Online guide. These resources contain topics that will guide you in efficiently handling your taxes, payroll, account information, banking tasks, sales or expenses related-activities, and so on.

Keep me posted if you need a hand with other QuickBooks-related concerns. I'll be around to provide further assistance.

Hello,

A customer of mine paid an invoice but then a chargeback was filed due to insufficient funds in the client's account. How do I handle this if they are trying to pay the invoice, but its marked paid now?

Thanks for getting involved with this thread, dirtdiva79.

If the funds have already been debited from your account by Intuit for the chargeback, you can leave your original invoice as paid since a successful payment was submitted for it.

You won't want to issue a refund if the funds have already been debited from you by Intuit. You can enter the funds which were taken from you for your chargeback as a business expense.

Here's how:
 

1. In the left navigation bar, use your + New button.
2. Choose Expense.
3. Pick the customer's name from your Payee drop-down list.
4. Specify the appropriate Payment account, Payment date, and Payment method.
5. Use your Account column to choose the account you're charging for your transaction.
6. Enter an amount.
7. Select Save and close.

When the customer's prepared to pay their invoice again, you can create a new one and send it to them.

I've also included a detailed resource about working with chargebacks with may come in handy moving forward: Handle chargebacks & retrieval requests for QuickBooks Payments

Please feel welcome to send a reply if there's any additional questions. Have a lovely day!

Hello and thanks for your reply. Since the amount has been debited from my bank account (I can see it in my bank account statement as pending), should I wait until the debit posts to my QB banking feed and assign it as an expense there? OR should I follow your instructions above, then "exclude" the downloaded transaction from the banking feed? When I create the new invoice for this customer, I will be able to add this "expense" to the invoice, right?

Hello there, @dirtdiva79. I got your back to further help manage the chargeback and record customer invoices. 

I appreciate you getting back here and providing additional information about your concern. Since the amount has been debited from your bank account, you can follow the steps provided above. To add the expense to the invoice you can make it billable to the customer. Here's how:

1. Turn on the Billable expense feature.
2. Once done, select the +New icon and choose Expense.
3. Next, select the payee.
4. From the Category column, select the expense account for the transaction.
5. Then, input the description and amount of the expense, then check the Billable box.
6. In the Customer field, select the customer you want to bill for this expense.
7. Once done, select Save and Close.

After that, add it to the invoice to reimburse the cost. Refer to the steps below:

1. Click the + New button and select Invoice.
2. In the Customer dropdown menu, select the customer you created a billable expense for. This opens the Add to Invoice window.
3. Select Add on the billable expense you want to charge to your customer.
4. Click Save and Close.

For reference, check out this article: Enter billable expenses. 

Then, once the debit posts to the banking feed, you can exclude it. 

Once everything is fine, your next step is to record your customer payments. 

You're always welcome to post again here if you have other concerns about managing your customer transactions. I'll be right here to help. Have a good one and stay safe.