I have a customer that had prepaid on their account and have since moved. How do I create a refund for their account so that I can issue a check?

I can help you create a customer refund by writing a check, @swiapest.

Refunding your customer through check reduces your bank's balance and offsets the customer's open credit, overpayment, or prepayment.

You'll just have to record the refund for your customer through check and then link the refund to the customer's credit or overpayment.

To record a refund through check:

1. Go to the + New button and select Check. 
2. From the Payee drop-down choose the customer you want to refund
3. From the Bank account drop-down, choose the bank account where you deposited the overpayment too.
4. On the first line of the Category column, select Accounts Receivable and enter how much you want to refund in the Amount field.
5. Click on Save and close after providing all the information. 

To link that check to the customer's credit or overpayment:

1. Go back to the + New button and choose Receive payment.
2. Select the same customer you used for the check.
3. Provide all the necessary information.
4. Under the Outstanding Transaction section, select the checkbox for the Check you created.
5. Make sure the payment is equal to the open balance, then select Save and close.

You can check this article for your reference: Record a customer refund in QuickBooks Online.

Here's also a guide on what to do in QuickBooks Online when a customer overpays you: Handle a customer credit or overpayment in QuickBooks Online.

Let me know if you need further assistance in recording this refund transaction. I'm always here to help. Have a great rest of the day!

I will be interested in more similar topics. i see you got really very useful topics , i will be always checking your blog thanks

I will be interested in more similar topics. i see you got really very useful topics , i will be always checking your blog thanks

Step One: Contact the seller. Reach out to the seller and try to resolve the problem with them directly first.

Step Two: File a Dispute with your Credit Card Company (Unless you paid via Paypal, then jump down to the PayPal Dispute section below).

AESsuccess

Thank you SO much for the information you provided for me on my question. I need additional help - our son recently started his own business and is going to be servicing a customer that has a credit balance on our books. I need to move this credit out of our system and create a check for him to put into his Quickbooks account. What steps do I need to do to clear this credit and be able to create a check for his business versus the customer because they had prepaid their account for the year?

Thanks for getting back to us, swiapest.

Allow me to share additional insights about the credit balance of the customer. Credits are entered in QuickBooks to reduce a customer's current balance. And, you can apply this to their future invoices.

Since you need to move the credit to your son's QuickBooks account, you can write a check to the accounts receivable. Then, match the check to the credit to zero out the balance.

Let me show you how:

1. Click + New, then Check.
2. Choose the Payee from the drop-down ▼.
3. From the Bank account drop-down ▼, select the account the check withdraws money from.
4. Select Accounts Receivable for the category.
   
   
5. Enter the amount and choose the customer from the Customer/Project field.
6. Click Save and close.
   
   

Once done, link the check to the credit:

1. Click + New, then Receive payment.
2. Enter the name of the customer.
3. Mark the check under the Outstanding Transactions, and the credit under Credits.
   
   
4. Click Save and close.
   
   

I'm adding these links for additional resources:

• Handle a customer credit or overpayment in QuickBooks Online
• How to Record Customer Credit: Credit Memos & Balances.
  
  

Stay in touch with me if you need anything else by commenting below with QuickBooks. I'm always right here to help you.