Paid credit card convenience fees on previous invoices are now rejected and flagged as overpayments. How do I account for those fees?

Glad to see you here in the Community, @charliewards.

Currently, the ability to add a convenience fee for paying by credit card is not available in QuickBooks Online.

As a workaround, you would need to create a service item for the credit card convenience fee and manually add it as a line item on your customer's invoice to indicate the fee. Let me show you how.

1. Go to the Gear icon. 
2. Choose Products and Services. 
3. Click the New button. 
4. Select Service. 
5. Enter the name of the service item. 
6. Put a checkmark on “I sell this product/service to my customers.” 
7. Choose an expense account (for example Other Expenses) from the Income account drop-down. 
8. Click Save and Close.

Here’s how to add the service item to the invoice:

1. On the create invoice page, click Add line.
2. From the Product or Service drop-down column, choose the charge convenience fee you created. 
3. Click Save and Close.

In the meantime, you can visit QBO Blog to learn about the new updates being rolled out by Intuit.

Feel free to post again if you have other concerns. I’m always willing to help.

Wrong answer to my question. I've had access to the beta convenience fee for over a year.  I sent invoices last month that included the fee. The customers paid the invoices + fee BUT the fee appears to have been rejected and customers informed they paid too much and have a credit. I still want to process the fees and not refund... So how do I account for the fee since QB no longer does it automatically? 

Hello charliewards, 

It's good to hear that the Convenience feature helped your business. The convenience fee beta feature is no longer supported because we are unable to roll it out in this format due to requirements from the card brand network.

In recording your convenience fee that marked as a credit on your customer's account, you can use the steps provided by my colleague Maybelle_S on how to create a convenience fee as an item. 

After creating one, you can create an invoice for the convenience fee alone use the credit to pay the convenience fee. Here's how: 

1. Click the +New icon and click Invoice.
2. Select the customer's name and enter the date as either the same day as payment or the day before payment.
3. Under the Product/Services column, select the convenience fee item and amount.
4. Click Save.
5. At the upper-right, click Recieve payment.
6. Select the Credit and then Save and close.

Do the same steps to other customers. 

Feel free to use these links for your future reference: 

• Record invoice payments in QuickBooks Online
• Credit card processing

Let me know if you have other questions. I'm just around to help you. Take care and stay safe!