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HTAHomer
Oct 17, 2022 12:40 AM UTC
Solved

Reversing a bank fee

My bank charged fees incorrectly and it took months for them to reverse the fee. How do I account for the credit so I can reconcile my bank account?

KlentB
KlentBAnswer
Oct 17, 2022 3:37 AM UTC

Welcome to the Community, HTAHomer.

 

Allow me to guide you in recording the reversed bank charge. You can create a bank deposit in QuickBooks Online to account for the bank fee reversal. Here's how:

 

  1. Click the + New icon.
  2. Select Bank Deposit.
  3. From the Account drop-down menu, select the appropriate bank account.
  4. Go to the Add funds to this deposit section, then select the expense account you use for tracking bank fees and charges.
  5. Enter the amount of the credit as a positive number.
  6. Click Save and close.

To learn more about handling bank deposits, I recommend checking this article: How to record bank deposits.

 

If you need more help in accomplishing your other tasks, please let me know by adding a comment below. Have a pleasant day ahead.

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12 replies

Victoria_M
Oct 17, 2022 1:54 AM UTC

Record it as a vendor credit under the original expense account (was it "Bank service charges"?).

HTAHomerAuthor
Oct 20, 2022 4:54 AM UTC

It was, thank you.

Carneil_C
Oct 20, 2022 5:08 AM UTC

You're always welcome, @HTAHomer. 

 

I'm glad my colleague's information was able to address your concern about recording a reversed bank charge. 

If you require additional assistance with QuickBooks-related concerns, please include it in your response. We're always here to help.

Have a wonderful day! 

KlentB
KlentBAnswer
Oct 17, 2022 3:37 AM UTC

Welcome to the Community, HTAHomer.

 

Allow me to guide you in recording the reversed bank charge. You can create a bank deposit in QuickBooks Online to account for the bank fee reversal. Here's how:

 

  1. Click the + New icon.
  2. Select Bank Deposit.
  3. From the Account drop-down menu, select the appropriate bank account.
  4. Go to the Add funds to this deposit section, then select the expense account you use for tracking bank fees and charges.
  5. Enter the amount of the credit as a positive number.
  6. Click Save and close.

To learn more about handling bank deposits, I recommend checking this article: How to record bank deposits.

 

If you need more help in accomplishing your other tasks, please let me know by adding a comment below. Have a pleasant day ahead.

HTAHomerAuthor
Oct 20, 2022 5:14 AM UTC

Thank you. I really appreciate the step by step instructions. There is another transaction that I don't know how to enter. One of our board members mistakenly made charges with our nonprofit's PayPal account (thinking she was using her personal account). She sent a check to cover the expense but I don't know how to handle it in quickbooks.  The challenges of a volunteer treasurer for a new trails non-profit that has no bookkeeping experience!

Angelyn_T
Angelyn_T
Oct 20, 2022 6:06 AM UTC

Hi there, @HTAHomer. I appreciate you for getting back. It's my pleasure to help you track the check transaction to cover the incorrect charges in QuickBooks.

 

You can deposit the check sent by one of your board members to compensate for the amount taken from your PayPal account. Here's how:

 

  1. Sign in to your QuickBooks Online (QBO) account.
  2. Go to the +New icon, then click on Bank Deposit.
  3. Choose the account (PayPal account) where you want to put the money from the Account drop-down.
  4. Enter the amount of the check.
  5. Save the transaction.

 

You can also get more tips about recording deposits from this link: Record and make bank deposits in QuickBooks Online.

 

Additionally, you can check out the resources from these articles for more tips while managing your file in the future:

 

 

Let me know if you have other questions while recording the check transaction you've received. I'll be here to help. Have a good one!

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