Created with Sketch.Learn about PPP and Loan Forgiveness, stay informed with the latest changes.
Created with Sketch.Need help with 1099's or other Year End topics? Visit our Year End Resources page.
Created with Sketch.New to QuickBooks or using a new product? Visit our Get Started resource page to help you get going.
Created with Sketch.Need to make changes to your account? Visit the Account Manager Portal.
cancel
Showing results for 
Search instead for 
Did you mean: 
Level 2

Transferring credit from one customer to another customer but QB says I can't use 2 AR accounts in same entry

I need to transfer a credit balance from one customer's account to another customer's account.  The answer to my question was to do journal entry where both Debit & Credit are posted to AR with the names of the customer accounts in the name drop down.  QB will not let me save this entry saying you cannot use more than 1 AR or AP account in the same transaction.  So how do I do this?

2 Comments
Level 15

Transferring credit from one customer to another customer but QB says I can't use 2 AR accounts in same entry

That is correct, QB does not allow us to shuffle value from one a/r or a/p to another

Journal entries should be the exception when using QB, they often do not work as you think they should, and when you use inventory type items they never work for inventory. It is much better to use the forms on the home page the way QB is designed to be used. Journal entries also bypass accrual/cash reporting, and will not show on many reports.

create a liability account called clearing
create an other charge item called move-credit and select the clearing account on the item screen

create an invoice for the main customer in that amount and use the move-credit item
in receive payments click the invoice and apply the credit

create a credit memo for the job, use the move-credit item and the amount
in receive payments apply the credit to the job

Level 15

Transferring credit from one customer to another customer but QB says I can't use 2 AR accounts in same entry

The top of the Credit Memos has the icon to Apply to open invoices. You don't have to also go to the Payments screen, to apply credits. The tops of the invoices has the same icon, to Apply credits.
Sign in for the best experience
Ask questions, get answers, and join our large community of QuickBooks users.
Sign In / Sign Up

Need to get in touch?

Contact us