If you use QuickBooks Payments then you can enter and process the credit card payments for your customers. By doing so, you can keep your accounting accurate. Whether you want to enter or process the credit card refund in QuickBooks Online or Desktop, here we will show you the detailed procedure of QuickBooks credit card refund.
In this guide, we will teach you to enter, process, record the credit card refund in QuickBooks and categorize credit card refunds from the vendor.
In QuickBooks Online, there are a few methods you can give a refund to your customer. For instance, you can refund the credit card payments for a sales receipt and a paid invoice. If needed, you can give a partial payment as well.
Before proceeding with the QuickBooks credit card refund procedure, there a few requirements you should be aware of:
To refund credit card payment in QuickBooks Online, you can perform the following steps:
Those who want to refund for the sales receipt in QuickBooks Online can create a refund receipt, choose the customer, pick the payment method, and save the details. To initiate the refund to a bank or credit card, you can pursue the following steps:
As you follow these steps, your refund for the sales receipt will be sent to the customer by then, If required, you can take a print of the refund receipt. All you have to click on the Print button.
If the invoices are already paid by the customer, you can initiate the refund by creating the refund receipt. Then, select your customer, enter the required details, select the payment method, and save the details.
Here are the detailed steps:
This is how you can initiate refunds for the invoices that are already paid. If required, you can print the refund receipt. All you have to click on the Print button.
It could also happen when you are supposed to send only a partial refund to your customers. In such cases, you can create a new refund receipt, select the concerned customer from the list, enter the required details, and send the partial refund.
Note: If you are giving the partial refund then you should only add the amount or the items that you wish to refund.
After following these steps, your refund will be shared with your customer. Remember that for the partial refund, you don’t add all the items. Make sure you only the items and amounts that are supposed to be refunded. You can print the refund receipt if needed. All you have to click on the Print button.
QuickBooks Desktop users can also refund the checks or cash payment back to the credit card of your customer. Even if you refund a credit card then QuickBooks Payments takes care of the whole procedure.
The process of refunding the partial amount or the whole amount for specific services and products is easy. But, you are required to be aware of the following requirements:
Now, you can follow the procedure of QuickBooks refund credit card payment in QuickBooks Desktop:
As you follow these steps, your QuickBooks starts processing the refund and handles the whole accounting process.
A lot of users must be wondering how long it takes for your customers to receive money back to the bank. Well, it may take around 7-10 business days.
QuickBooks applies refunds and credits to the customer’s debit or credit card only when it settles the latest transaction batch at 3:00 PM each day. However, it depends on the bank when a customer sees the credit. The industry standard time can be between 7 to 10 days.
Special Tip: If you are facing issues sending refunds to the customers in QuickBooks then you can try voiding them. Especially if the transaction has not been settled then you should void the refund. All you have to do is go to the Customer Center menu, open the profile of your customer, open the credit card refund, click on the View Refund receipt, and select the Void Refund option.
If you have received a credit card refund from the vendor then you can categorize and add them to the ledger. All you have to create a vendor credit and apply the vendor credits to the bill. Let’s follow the procedure of QuickBooks credit card refund from vendor.
To categorize the credit card refund from the vendor, first, you will have to create the vendor credit so that you can apply it to the bill. Make sure you enter the item and category details correctly.
After creating the vendor credit, you can apply this to the future or open bill. To do so, you have to choose the Pay Bills option, select the bill for the vendor, and enter the required fields.
This way you can easily create and apply the credit card refund from the vendor in QuickBooks.
Once you create the credit card refund, you can process it in your QuickBooks Online. All you have to do is go to the Refund Receipt, add the name of your client, choose the credit card type, and add the necessary details.
After you save the information, your credit card refund will be processed for the concerned customer.
If you want to record the credit card refund or a refund to the customer then you can do that easily. Before you start, make sure you create the credit memo. Thereafter, you can write a check with the refund amount. Later, you can link your credit memo to the check so that it does not open credit memos and the refund checks that are unapplied.
This is how you can record the credit card refunds in your QuickBooks account. All you have to create the credit memo, write a check with the refund amount, and link your credit memo.
The QuickBooks credit card refund procedure is easy. Whether you use QuickBooks Online or QuickBooks Desktop, you can perform different steps to refund the credit card. For instance, in QuickBooks Online, you can do a credit card refund for a sales receipt, paid invoices, and partial refund.
Even if you receive a credit card refund from the vendor, you can categorize them too. Here, we have shown the whole procedure of QuickBooks credit card refund. If you have any questions, let us know in the comment section.
If you are bothered by QuickBooks error H202, you should visit our guide.