I created a credit note. The client has paid another invoice with the credit deducted. How do I connect this deposit to the credit note?

Hello there, neil31,

This will offset the created balance. Here's how:

1. Click + New on the left pane.
2. Select Receive payment or Receive invoice payment.
3. Select the same customer you used for the check or expense.
4. Fill out the other fields as you see fit.
5. Under the Outstanding Transaction section, select the checkbox for the Expense or Check you created.
6. Make sure the payment is equal to the open balance, then select Save and close.

Here's an article for more details: How to refund a deposit and close an invoice.

Let me know if you have other concerns.