Every time an online payment bounces it becomes a huge headache. What is the best way to handle this situation?

Welcome to the Community, info52.

I'd be pleased to help you in handling a bounced payment in QuickBooks Online.

The best way in handling this situation is to enter a returned or a bounced check via the Write Check feature in QuickBooks Online.

Here's how to enter a returned check; Step 1:

1. Select the Plus icon (+) on the Toolbar.
2. Under Vendors, select Check.
3. In the Payee field, select the name of the customer who issued the bounced check.
4. From the Bank Account drop-down list, select your bank.
5. In the Payment date field, enter the date the check bounced.
6. Clear the Print Later checkbox and enter a note, such as NSF check, in the Check number field.
7. Under Account details, select Accounts Receivable from the drop-down list in the Account column.
8. Enter the amount of the bounced check in the Amount field.
9. Select Save and close.

For more recommended steps, check out this article: How to enter a returned or bounced check using Write Check.

Also, you may find this article helpful: https://quickbooks.intuit.com/community/Income-and-expenses/How-to-void-or-delete-an-invoice-or-othe....

I'm always here if you need anything else. Have a great day!