Recording Bounced Check & Re-Entering Check

I appreciate your time in reaching out to us. Managing bounced checks and chargebacks can be a hassle and a time-consuming task, DL63.

You also mentioned that you previously called in about your concern but was not able to get the right steps. No worries, I'm here to provide some guidance on how to handle this type of situation in QuickBooks Desktop. 

Before we dive in, I just want to clarify if you're referring to overdraft fees when you ask for the chargeback. We're asking this question since there's a separate and distinct process of recording these types of transactions in QuickBooks Desktop. 

In the meantime, you can start by creating a reversing journal entry to indicate that the original payment was not successful. Here's how:

1. Go to the Company menu and select Make General Journal Entries.
2. Make sure the Date and Entry No are correct.
3. Debit the checking account for the amount of the NSF check.
4. Credit the A/P account for the amount of the NSF check.
5. Indicate the name of the vendor and put in any other details.
6. Click Save & Close.

Next, enter a bill for the overdraft charges by following these steps:

1. Go to the Vendors menu and select Enter Bills.
2. Enter the Vendor name.
3. On either the Expenses Tab or the Item Tab, enter the overdraft charges with the appropriate account or item.
4. Enter a Memo to indicate that these are charges for an NSF bill payment check.
5. Click Save & Close.

Lastly, create a new bill payment check to record the second deposit you've made. Here's what you need to do: 

1. Go back to the Vendors menu and select Pay Bills.
2. Select the bill(s) originally paid by the NSF bill payment check and the bill for overdraft charge (if applicable).
3. Type in all other required information.
4. Click Pay Selected Bills

You can also read more details about these steps in this article: Manage A Bounced Check You Wrote.

Just in case this is a customer-related transaction, you can use the steps in these articles instead: 

• Handle Non-Sufficient Funds (NSF) Or Bounced Check From Customers
• Handle Chargebacks And Retrieval Requests For QuickBooks Payments

However, I would still highly recommend consulting with your accountant to get their professional opinion on this matter. They can provide additional advice and guidance to make sure everything is recorded properly in your account.

Don't hesitate to ask any follow-up questions when clearing out any vendor or customer-related payments. You can also reach out to us again if you need anything else about QuickBooks. We're more than happy to help. 

I wanted to respond to let you know that this was for a customer and not a vendor. We did not charge the customer a fee. I was able to resolve it before I saw your response. I do appreciate you getting back to me with the steps on how to do it for a customer. It looks like what I did was correct.