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Lucy222
September 6, 2022
Solved

Credit (deposit) received from bank

  • September 6, 2022
  • 1 reply
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Paid a project vendor by bank debit.  Vendor returned a portion of the payment as an overpayment.  How do I post this deposit received back from the bank on the bank statement and get it back onto the project.  Original bank debit payment was made in a prior month.

Best answer by TirzahC

Hi AileneA,

Thanks for your response.

I completed your instructions for Step 1. and 2. 

3.  Link the deposit to the Bill Credit.

(b) Do not understand "Check the Deposit that matches the Vendor check amount. (How do you see deposits went you are in Vendor, Pay Bills?  The Set Credits is grayed out.

 

Thanks.


I appreciate you for performing the steps provided by my colleague. I can help you link the deposit to the bill credit, Lucy222.

 

When you're on the Pay bills window, make sure to check the filters that you set. You can set to view all the bills under the specific vendor. Check the screenshot below:

 

The first scenario that is outlined in the article that you're following is for refunds that you've received from your vendors for bills that are already paid. 

 

If the credits are not showing or grayed out, let's run the Transactions History of the credit to see if it's applied to a bill. 

 

Here's how:

 

  1. On the report screen, double-click the Credit to open it.
  2. Go to Reports at the top and click Transaction History.
  3. You'll see the bill associated with the credit.

 

From there, check the bill associated with the credit. If it's still not showing, a data integrity issue could be the reason. Let's run the Verify Rebuild Data tool to help us identify if it is and repair the data. Here's what you'll need to do:

 

  1. Click the File menu at the top.
  2. Go to Utilities, then choose Verify Data.
  3. If QuickBooks detected no problems, there's no further action needed. If you receive a message, "Your data has lost integrity", the file is damaged. Just continue to Rebuild Data to correct the problem.
  4. When you Rebuild Data, you'll receive a message to back up your company file, just click OK. The utility starts as soon as the back up is finished.
  5. Click OK when you get the message "Rebuild has completed".
  6. Run Verify Data again to check for remaining data damage.

 

For more details about the Verify/Rebuild process, check this article: Verify and Rebuild Data in QuickBooks Desktop.

 

I've added these articles for future reference: 

 

 

Please let me know if you need clarification about linking the deposit to bill credit or there's anything else I can do for you. I'll be standing by for your response. 

1 reply

R
ReymondO
September 6, 2022

Hi there, @Lucy222.

 

Let me share some steps on how to handle overpayment inside QuickBooks Desktop (QBDT). 

If the vendor sends you a refund check for a bill that is already paid, we can follow these steps:

First, create a deposit of the vendor check.

 

    1. Go to the Banking menu, then select Make Deposits.
    2. If the Payments to Deposit window appears, click OK.
    3. Choose the vendor who sent you the refund from the Received from drop-down list.
    4. In the From Account drop-down, select the appropriate Accounts Payable account.
    5. In the Amount column, enter the actual amount of the Vendor check.
    6. Select Save & Close.

 

Then, record a bill credit for the refunded amount.

 

    1. From the Vendors menu, select Enter Bills.
    2. Click the Credit radio button to account for the return of goods.
    3. Enter the Vendor name.
    4. Select the Expenses tab and enter the Accounts on the original bill.
    5. In the Amount column, enter the appropriate amount for each Account. 
    6. Click Save and Close.

 

Finally, link the deposit to the bill credit. Here's how:

 

    1. From the Vendors menu, select Pay Bills.
    2. Check the Deposit that matches the Vendor check amount.
    3. Select Set Credits and apply the Bill Credit you created earlier then select Done.
    4. Click Pay Selected Bills, then select Done.

 

For more info, you can check out this article: Record a Vendor Refund in QBDT.

You can also run several reports to tell where your company stands. These offer critical information about your business and finances.

Should you have any follow-up questions or concerns when recording overpayments, don't hesitate to post again in the Community page. We'll be here to assist you. Take care and have a good one. 

L
Lucy222Author
September 6, 2022

I do not use QBO, I use QB desktop (Contractors) for job costing.

A
AileneA
September 6, 2022

I can share a steps for QuickBooks Desktop, Lucy222. 

 

When recording a refund, you can add it as a bank deposit. Please ensure to select the correct expense account for the deposit amount. Here's how: 

 

  1. Go to the Banking menu, then select Make Deposits.
  2. If the Payments to Deposit window appears, select OK.
  3. In the Make Deposits window, click Received from the drop-down and pick the vendor who sent you the refund.
  4. In the From Account drop-down, select the appropriate Accounts Payable account.
  5. In the Amount column, enter the actual amount of the Vendor refund.
  6. Tap Save & Close.

 

After recording the deposit, please follow the next process, Record a Bill Credit for the refunded amount and then Link the deposit to the Bill Credit. I'm adding this article for more guidance on this process: Record a vendor refund in QuickBooks Desktop.

 

I've added an article that'll help you handle your future tasks about recording your vendor's credit: Transfer and apply credit from one vendor to another in QuickBooks Desktop.

 

Please let me know if you need clarification about this, or there's anything else I can do for you. I'll be standing by for your response. Have a great day.

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