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Bocnuts
December 13, 2022
Question

Credit auto-applied to recurring sales receipt?

  • December 13, 2022
  • 2 replies
  • 0 views

I have recurring transactions set up to allow customers to auto-pay their tuition each month.  This month (Dec), I need to issue a partial refund for which I used a credit memo for each customer. 

 

Will the credit be automatically applied to the recurring sales receipt such that their auto-pay is reduced by the amount credited to their account, or do I have to manually do something?  I don't want to modify the template for one payment if I can help it.

2 replies

M
mv32
December 13, 2022

Hi, @Bocnuts. Thanks for posting to the Community.

 

You won't have to use a credit memo to issue a partial refund. Because a credit memo will automatically apply to the customer's oldest open invoice or open balances when you turn on the Automatically apply credits from the Account and settings.

 

In your case, you'll have to use a Refund receipt manually since recurring sales receipts are fully paid transactions.

 

  1. Select + New and then choose Refund receipt.
  2. Select the customer you want to refund from the Customer ▼ dropdown.
  3. Enter the details in the fields using the same info from the original sale. To credit back their credit card, in Payment method, select Credit card. To credit back their bank account, in Payment method, select Direct Debit.
  4. In Refund From, select the account you wish to refund the customer from.
  5. Select Save and close.

 

You can reference this article: Void or refund customer payments in QuickBooks Online. It also covers how to refund an invoice.

 

Additionally, I'd like you to check out these to learn more about how to turn on automatically applying credits to open customer balances and refund customer payments:

 

 

Please get back if you have other QuickBooks record-keeping concerns. I'm still here to help. Take care always, and more power to your institution!

B
BocnutsAuthor
December 29, 2022

Thank you for your response!  I don't have Direct Debit displayed as a choice.  Although I know I can add it, I use ACH to process my recurring receipts.  However, when I choose ACH in the refund receipt as the payment method, it brings up the field for 'check number' with a 'print later' selection and does not have the ACH bank account info.  Is there another selection I am missing to refund it directly to their bank account?

L
LeizylM
December 30, 2022

Hi there, Bocnuts. 
 

Let me make it up to you by ensuring you'll be able to add the bank account info in QuickBooks Online (QBO). 

 

The option to enter the ACH bank account info on the refund receipt window isn't available in QuickBooks Online (QBO). However, you can setup your bank account details in the Customer info. 

 

  1. From the Enter bank account info window, click +Add instead of Edit.
  2. Fill in the Account Number, Routing Number, Account Type, Phone Number, and Name fields.
  3. Place a checkmark in the box next to Use this account information in the future and I have signed authorization from my customer or will read the authorization script.
  4. Click Save.

 

You can check out this article for more information: Process an ACH bank transfer from a customer.

 

For more details on handling customer payments, you can check out these pages: 

 

 

Please know that I'm just a post away if you need more help changing the account number. Take care.

B
BocnutsAuthor
February 22, 2023

My apologies, but I am still not finding how to attach an ACH to a refund receipt in QBO.  For my customers, I have set up recurring transactions to cover tuition, so I have that information.  When 'Customer Info' is referenced in the previous post, where am I entering this...from my customer list?  I ask because there is no 'enter bank account info' window that I see on that page.  

 

When I click on a customer, it shows sections for 'name and contact', 'addresses', etc. and it has a section for 'payments' under which I can select ACH and it brings up their account information I entered for the recurring receipts.  Is this what is being referred to in the previous post?  If so, when I select ACH(it doesn't show any bank info) in the refund receipt for a particular customer, will it then process the refund to the 'primary payment method' identified in the 'payments' section of the customer?

Q
QueenC
February 22, 2023

Hello there, @Bocnuts.

 

First off, I'd like to appreciate you for taking the time to follow the steps provided by my colleagues above. Allow me to chime in on this conversation and clarify things out.

 

Recording a refund for an ACH payment is only available on Refund receipts. However, refunding an ACH payment to the customer's bank account isn't available in QuickBooks Online (QBO). With this, I'd recommend choosing another refund method either cash, check, or store credit.

 

Additionally, here's an article that'll help you in case you'll want to set up autopay for recurring invoices so you won't have to keep track of your customer's payment information: Set up Autopay for recurring invoices in QuickBooks Online.

 

I'll be around in case you need further assistance with regard to issuing a refund to customers in QBO. Simply leave a comment below, and I'll get back to you.

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