Disputed ACH transactions

Good day, ANACNRVP.

There are two ways to enter a disputed ACH transaction in QuickBooks Online, either process this transaction as a refund or record this as a business expense.

If you choose to record it as a business expense, let's create a service item first for the charge fee so you can select it on the additional line of the check. See the screenshot below for your visual reference. 

Once done, you can follow the steps below in recording the expense:
 

1. Click the +New icon and select Check.
   
2. Select the Bank Account and choose the customer name that was used for the original credit card payment transaction.
3. Delete the check number (you can enter a note to indicate that this check was disputed).
4. Enter the total disputed amount and the item.
5. Add another line item for the charge fee and enter the amount.
6. Clear the Print later checkbox.
7. For the Account, choose the account that you charge for the transaction.
8. Click Save and close.

You can go through the resources below. These will provide you more information on how to deal with disputed transactions in QuickBooks Online as well as on what are the details you need to prepare for a retrieval request:

Handle chargebacks and retrieval requests for QuickBooks Payments.

Chargebacks and How Intuit is Backing You.

If you still need help with these transactions, you can reach out to our Payments Support for more details.

I've got your back if there's anything else I can help with chargebacks. Just leave a reply below. Have a nice day!

This didn't work.  The check never showed in the customer's account and I couldn't match to the downloaded bank transactions.  

It seems like I should process like a bounced check, but some of the other answers I read gave specific instructions that it was for bad checks only.  

Hello there, @ANACNRVP.

It's my priority to help you get this disputed ACH transaction concern sorted out so you can keep your records accurate. However, I'd like to ask for more details for me to narrow down this issue.

If you're referring to a recurring transaction, may I know why the check isn't showing up on your customer's end? Did the check bounce? Please get back to me with additional information in this scenario so I can provide you an accurate resolution.

I'll be keeping an eye out for your response to this. Just notify me by leaving a reply below. Take care!

Maybe my explanation is is not clear.  I have set up recurring transactions where I am charging my customers weekly.  Some customers pay with CCs and other pay with ACH (eCheck).  Several of the ACHs came back disputed and charged me a $10 fee.  

Following the instruction I created the check, remove the check #, added the customer's name, and added the amount of the disputed transaction and the fee.  That check never shows up in the customer's account under all transaction, and it never give me the option to match with  the downloaded transaction from the bank.

FYI, I'm using QBO.  

Thanks for the support.

Hi, ANACNRVP.

If the disputes are downloaded transactions, delete the check you've created and from the baking page, simply click the Add button to record the expense plus the fee to QuickBooks. This will help ensure the statements reflects the data for the month.

As for the categorization of your transactions, you can consult and work with your accountant.

You can go through the following article. This will provide you more information on how to deal with disputed transactions in QuickBooks Online: Handle chargebacks and retrieval requests for QuickBooks Payments.

Let me know if you still need help with disputed transactions or anything in QuickBooks, I'll be here to lend you a hand.

I am having the same problem with ACH disputes.  QBO has notified me that the payment was reversed due to a "dispute" or a "problem with the customer's account", but no further information is given.  In each case, the customer is unaware of a problem and in fact their payment screen shows the invoice as paid.  This is very frustrating for me, your customer. I have contacted customer support and it even was escalated to the Intuit Office of the President, and no resolution has been achieved. Is there somebody at QBO who can directly assist on the phone?

I understand your frustration, @Customer123456. And I want to make sure your issue get's resolved.

Our support agent already emailed the updated information about your disputed ACH concern a couple of hours ago. You can check your email to confirm. Also, you can reach out directly to Payments support through this link: Intuit.me/funding.

You might also want to learn how to prevent chargebacks in the future. This article will provide some guidance: Prevent future chargebacks.

Our doors are always open to help you again if you have any other concerns with ACH payment. Have a great day.