I pay an invoice from vendor that was issued in USD in GBP. How do I have to record in QBO?

It's my pleasure to have you here on the Community page, NUO.

When recording payment into a foreign currency bill, we can only use the home currency bank account or the account with the currency matching the transaction.

First, let's create a dummy bank account in the home currency to facilitate the movement between 2 different foreign currencies.

1. Go to the Gear icon, then select Chart of Accounts.
2. Select New.
3. Under the Account Type column, select Cash and Cash equivalent.
4. In the Detail Type column, pick Cash on hand.
5. Enter the name or type in Dummy Bank.
6. Before saving and closing, ensure it's set to your home currency.

Then, record the payment of the GBP bill.

1. Go to the +New button.
2. Click Pay Bills.
3. Set the Payment account to the Dummy Bank.
4. Fill in the necessary information.
5. Before saving the transaction, take note of the home currency amount displayed at the bottom right.

Once done, you'll have to transfer the amount from the Dummy Bank to the USD bank account through bank transfer.

1. Select Transfer from the +New button.
2. Under the Transfer Funds From column, select Dummy Bank from the drop-down arrow.
3. In the Transfer Funds To, choose the USD Bank.
4. Choose the currency from the drop-down arrow.
5. Enter the amount.
6. Hit Save and close.

For more tips about managing multi-currency transactions in QuickBooks Online, you can check out these articles:

• Receiving and making payment for a foreign invoice/ bill with a foreign currency
• Assign a foreign currency to a customer in QuickBooks Online

If you're comfortable with using journal entries, you may open this link: Multi-Currency: Journal Entry Error Message.

Moreover, you can skim through the different topics from our help articles for more resources while working with QuickBooks in the future. Here's the link: Help articles for QBO International.

If you have any follow-up questions about recording bill payments, please let me know by adding a comment below. I'm more than happy to help.