Credit for Disputed Items

Enter a Credit Card Credit transaction using the credit card account where you initiated the charge back.

@xerxescct 

Create bank deposits that match the dates of the chargebacks received and assign the same expense accounts to the deposits that were used when you wrote the checks.  That will deposit the funds into your bank account and reverse the expense(s) from the original checks.  

@Rainflurry  RE: Create bank deposits 

For a credit card refund/charge back?

@BigRedConsulting 

The OP paid directly via bank transfer.  There was no mention of using a credit card.  

RE: There was no mention of using a credit card. 

That's what I thought at first as well, but then I read:

"the bank that issued the refund under their charge back protections since the payment was processed by the banks credit card. By that logic it wasn't actually the seller who sent the money back but rather the bank that took the money from the seller and returned it to us"

This describes a charge back to me, for a bank-issued credit card, from the customer side.

@BigRedConsulting 

Yeah, you could be right.  When I read: "...I am trying to figure out how to show the checks we wrote in quick books were returned to us and we got a refund." I assumed this was the OP's bank credit/debit card where each individual payment hits their bank account, unlike a regular credit card that flows through a cc liability account.  If the OP recorded the original purchase "charge" with a check then, in my mind, you want to add the cash back to the account with a deposit directly to the bank account, not a credit to reduce the cc liability.  The original post was not super clear though so I could certainly be wrong.     

Hello,

Thank you for the responses, There is a bit of confusion so let me clarify. When I referred to "Write Checks" I was talking about the function in QuickBooks Desktop.

The purchases were through mastercard but not a credit card. It is our bank issued ATM Debit/credit Card. We were able to go to the bank and file a charge back. Because it was an international purchase we also received the the service fees back. So to simplify,

1. Items were purchased in 2022. We wrote checks in quickbooks for recording the purchase.

2. A dispute was filed and granted in 2023 and the money, including the fees were returned to us.

I do not know if the bank issued the money or mastercard or the seller. It just shows up on our bank statement as "refund for disputed item" , "refund for service charge".

Hopefully that helps.

Thank you