How do I enter a credit memo received from a vendor

Welcome to the QuickBooks family, snickles-triadex. Let me share the steps to record a credit memo from your vendor.

When entering a vendor credit, ensure it hits the expense account you use for this vendor. Follow the steps below:

1. Go to the + New and select Vendor credit.
2. In the Vendor ▼ dropdown, choose your vendor.
3. Depending on how you record purchases with this vendor, enter the Category details or Item.

Please take note that you can apply this credit using Pay bills or as a refund. Here's an article for the instructions based on various scenarios: Enter vendor credits and refunds in QuickBooks Online.

Save this guide to see entries and info with your vendors: View vendor transactions.

Please let me know how else I can help you with your vendor credits. I'm always here to help. Have a great day!

I was able to enter credit memos PRIOR TO the most recent update in May 2025.  The instructions above were correct for the old version, but I do not see a "Enter Vendor Credit Memo" on the vendor menu (enter invoices, pay etc are there) No +New and Select Vendor Credit as the menu/dashboards have been updated and both Enter Vendor Credit Memo AND Enter Customer Credit Memo appear to be gone.  Where do I go to enter these?

Prior to the update in May 2025, it was easy to enter a vendor (or customer) credit memo.  The instructions above were accurate.  After the update, it appears the option to enter a credit memo from a vendor or to a customer IS GONE.  QB doesn't accept a negative dollar invoice, so you can't get around it through the invoice option. There is a new dashboard layout, and the vendor section does not have a "create/enter credit memo" option.  There is not an option to "Create Customer Credit" either. How do we enter/process credit memos now?

Thanks for joining this thread, D McDermott.

I want to make sure you're able to enter credit memos in QuickBooks Online.

Just to test the steps mentioned above I opened a sample QuickBooks Online account and was able to successfully create a credit memo. I was wondering if you could send over a screenshot of your view and the +New menu?

The best place to start troubleshooting for missing functions in QBO is to clear the browser cache. The cache is in place to collect frequently used data to make loading web pages quicker and easier. If it becomes too full it can potentially cause viewing and performance errors within the system. Clearing it will remove anything that's preventing the page from loading properly. Here's how to get this done in Chrome for example:

1. At the top right, click More (three vertical dots).
2. Click More tools and then Clear browsing data.
3. At the top, choose a time range. To delete everything, select All time.
4. Check the boxes next to "Cookies and other site data" and "Cached images and files."
5. Click Clear data.
 

The following article provides similar steps for other browsers: Clear cache and cookies to fix issues when using QuickBooks Online

Please feel free to reach back out if you have any other questions. I'm always happy to lend a hand.