How can I process a refund check from a vendor when the refund is deposited along with other checks?

That credit does not exist for the vendor.

This did not work. I tried and the "bill" disappeared on the Pay Vendors page, but the amount of the credit on the Vendor Center page did not change. 

Ok, it worked, but now when I look at my vendors in the Vendor Center window, which we access a lot, there is a balance where there should not be. Please, I am half way there......  How do I clear the none existent balance from the Vendor Center window?

And I am very grateful for the help. 

Glad to have you here, @Kalvinator.

Indeed, you’re on the right track! Allow me to add more information to ensure that vendor refund is recorded properly on your end.

To start with, when recording payments in QuickBooks Desktop, transactions will stay under “Undeposited Funds” if a specific bank account is not selected or entered while creating the check. 

To deposit payments and refunds properly, here's the workflow:

1. Create an invoice
2. Record a payment
3. Deposit customer payments
4. Record a vendor refund in QuickBooks Desktop

On the other hand, QuickBooks Desktop has a variety of reports that you can choose from for all of your business needs.  To view the transactions that make up the current balance of each vendor, you can generate the Vendor Balance Details report or the Open Balance report.

Here's how:

1. Click Customer from the menu tab.
2. Select Customer Center.
3. Choose the customer that shows an incorrect available credit.
4. In the Customer Information window, click Open Balance.
5. In the Open Balance Report page, click Customize Report.
6. Click the filter tab.
7. Select Transaction Type.
8. Choose All.
9. Click Ok.

Once completed, it will display all of your transactions that cause an open balance. Kindly ensure to use “Expense Account“ in recording the vendor check not “Accounts Payable“.

For future reference, you may check out this article: Write off customer and vendor balances. 

If you’re still unable clear put the credit on your end, I’d recommend reaching out to Customer Care team. A specialist will be able to further assist you via secured remote access.

Here’s how you can contact us:

1. Visit: https://help.quickbooks.intuit.com/en_US/contact.
2. Select your QuickBooks Product.
3. Choose your QuickBooks version.
4. On the Contact Us page, click a topic.
5. Click on the Get Phone Number button to see the support number.

Don’t hesitate to drop a comment below if you have follow-up questions about clearing out vendor balance. I’m always here to help.

Thank you so much for the information, juVielL, I will go through it and let you know if it solves my issues.  And mark it solved if it is. LOL. 

This is my part time gig with my husband, my full time job is demanding..... will let you know!

Kalvinator

That's music to my ears, @Kalvinator.

QuickBooks Desktop is designed to help business owners, like you achieve a better work/life balance, I'm thrilled to hear that our software is helping you stay on track.

By the way, if there are any features you'd like to learn more about, our Community articles can come in handy: https://quickbooks.intuit.com/community/Help-articles/ct-p/help-articles-us. 

You may also check out our video tutorials: https://quickbooks.intuit.com/tutorials/.

Feel free to leave a post or comment below if you have other questions about managing your income and expense transactions. I'm always here to help.