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H
halbert_b
May 28, 2022
Question

How to match? My invoices, when paid by direct payment, are marked as 'paid' appropriately. But the bank deposit also shows up as income, not associated with the invoice.

  • May 28, 2022
  • 2 replies
  • 0 views
I issue invoices to clients, who mostly pay by check. When I deposit those, I match to the invoice; all good.

A few clients occasionally pay via the direct bank transfer option available via intuit. This (as you would expect) marks the invoice as paid automatically. However, the bank deposit still is captured in 'banking', but when I go to match it to the invoice, it is no longer available (already being paid), so I'm left with an 'External Deposit INTUIT' floating in my banking statement with no way to reconcile/record it.

2 replies

K
Kurt_M
May 28, 2022

Hello there, @halbert_b. Thanks for reaching out here in the Community, I'd be pleased to take care of your concern and help you manage the deposit that you've received from your clients here in the QuickBooks Online (QBO).

 

In QBO, when you receive a deposit from your customers, you'll want to link them to the appropriate invoice to keep your records accurate and prevent errors when it's time to reconcile your accounts.

 

Before you can link a deposit to an invoice, there are a few things to consider:

 

  • Make sure there's an invoice for the customer.
  • Make sure there's a payment registered through Bank Deposit and not through Receive Payment.
  • Confirm that the payment hasn't been entered and linked to the invoice.

 

You'll then want to edit the deposit and then put it in your Accounts Receivable. You can easily find the deposit entry in your bank register. Here's how:

 

  1. Go to Bookkeeping or Accounting, then select Chart of accounts (Take me there).
  2. Select Chart of Accounts.
  3. Find the account you deposited the payment to and select View register.
  4. Find and select the correct deposit. Then select Edit.
  5. In the Add funds to this deposit section, find the deposit.
  6. Select the Received From ▼ dropdown, and select the customer the deposit was from.
  7. Select the Account ▼ dropdown. Then select Accounts Receivable.
  8. Select Save and Close.

 

Once your deposit entry is updated, you can proceed to apply it as a credit to the invoice. These are the steps:

 

  1. Select + New.
  2. Select Receive payment.
  3. Select the Customer from the ▼ dropdown. This displays all open invoices and outstanding credits for your customer.
  4. In the Payment date field, enter the day you received the payment.
  5. In the Outstanding Transactions section, select the invoice you need to mark as paid.
  6. Under Credits, select the deposit.
  7. Select Save and Close.

 

Additionally, I've got you these handy articles about how you can reconcile an account and fix a reconciliation in QuickBooks Online:

 

 

If you need help performing specific tasks in QuickBooks Online, feel free to post again here in the Community space. Rest assured, we are always ready to assist you. We also want to ensure that you're able to get back on track with your business. Take care and have a good one!

H
halbert_bAuthor
May 28, 2022

Not what I need, but thanks!

My invoice *is* marked as paid.

 

I can go to Sales -> Deposits, and find the relevant deposit. IT shows the customer, transaction ID, etc., and the attached invoice. If I click on that, it takes me to the invoice page (which again, shows 'Paid'.) This happened automatically (I did no associating myself; I assume QBO made this connection automatically when the customer clicked on the 'pay invoice' link at their end).

Now, I can go to 'Banking' and look at the linked bank account. The same deposit shows up here as a further deposit into my bank account by Intuit ("External Deposit INTUIT" with the same transaction ID as the above). Here, I would normally match this deposit into my bank account to the invoice, buuuut, the invoice is *already* paid. So I have this bank deposit sitting there for review.

 

Not sure how to review it.

C
ChristieAnn 11
May 28, 2022

I appreciate you for coming back to the thread for adding additional details about your concern, halbert_b. With this, I'll be providing the possible cause of why the invoice appears as paid. Then, to ensure you can match the payment to the associated invoice.

 

There are reasons why the invoices are showing as paid after you created them. It could be that:

 

  • The invoice amount is zero ($0.00). That will automatically mark the invoice as Paid.
  • There is an available credit under the customer's profile while the Automatically apply credits option is turned on.

 

If there is a credit applied to the invoice automatically, you can remove it by deleting the payment linking the credit and the invoice. Beforehand, I recommend turning off the Automatically apply credits option.

 

Here's how:

  1. Click the Gear icon in the upper-right corner and select Account and Settings.
  2. Choose the Advanced tab and go to the Automation section.
  3. Turn off the Automatically apply credits.
  4. Click Save and Done.

 

Once done, you can now follow the steps on how to delete the payment that has been linked to the invoice.

 

  1. Open the invoice.
  2. Click the 1 payment made hyperlink below the Receive payment button.
  3. It will route you to the Receive payment window.
  4. Click More at the bottom menu and select Delete.
  5. Click Yes to confirm the action.

 

Once everything is accurate, you can now go to the Banking page and match the deposit and the invoice that has been entered. You can click this article to see further details on how to perform the process: Categorize and match online bank transactions in QuickBooks Online.

 

Lastly, you may click this article to view details on how you can reconcile your accounts to avoid discrepancies: Reconcile an account in QuickBooks Online.

 

Please don't hesitate to click the Reply button if you have any other questions. I'm always happy to help, halbert_b. Wishing you continued success!

S
Syren
April 2, 2025

How to tell where the direct deposit came from intuit?  The is no customer name attached to the deposit

Is there a way to find out?

M
MoiraskyeT
April 2, 2025

Hello, @Syren. Yes, you can check who sent you the direct deposit by using the Merchant Service Center. Let me explain how you can do that.

 

  1. Log in to the Merchant Service Center.
  2. Navigate to the Activity & Reports menu and choose Deposits.
  3. Use the Dates ▼ dropdown menu to adjust the date range as needed. You can filter any six months within the last 12 months.
  4. If necessary, select Show Advanced Options to conduct a precise search using the transaction ID and the card's expiration date.
  5. Click on Search.
  6. Upon locating the deposit, you can:
  • Click on the small arrow ▼ in the FEE column to view more details about the transactions included in that deposit.
  • Print the details, print a summary, or export the data as a CSV file.

 

For more detailed instructions on locating a deposit through the Merchant Service Center, please refer to this article: Find transactions, deposits, or fees in the Merchant Service Center.

 

You can also check this article to learn how to view and download your processing statements in the Merchant Service Center: View and download statements in the Merchant Service Center.

 

With these steps, you can check who sent the direct deposit successfully. If you have any more queries about direct deposits, feel free to reach out, we'll be happy to provide more assistance to you. Best wishes! 

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