How to fix rejected bank transfer

vive · ‎December 29, 2023

Hi,

Here is my scenario. I would be grateful for assistance in how to account for this properly in Quickbooks online:

1. Invoiced customer $200 for service

2. Customer paid via Quickbooks online bank transfer ($200 was transferred to my bank account)

3. Online bank transfer was later rejected by the bank (probably due to insufficient funds or customer chargeback - it is not clear to me).

4. I was notified of this and fixed the entry by following the instructions here exactly: https://quickbooks.intuit.com/learn-support/en-us/help-article/banking/handle-rejected-failed-bank-t...

5. Then the customer's bank deducted $200 from my account

The instructions in the link above (Step 4) do not instruct me on how to deal with the $200 that was later deducted from my account. How do I properly account for the -$200 charge to my bank in QBO?

Thank you in advance for any guidance.

Service · ‎January 01, 2024

These one-off situations have a lot of solutions, and you can choose whatever you want if you feel comfortable with it.

If I received a payment that was later rejected, I would just delete the payment, and that would restore the balance due for the invoice. For the bank download when that amount comes in and out, I would just click on exclude, if the in/out amounts are the same.

You could get really detailed in how you treat this type of issue with a huge paper trail, but I don't think it is necessary.

vive · ‎January 03, 2024

Thank you for the reply. I would love a simple solution, however there are also fees I have paid in relation to this, including the QBO bank transfer fee on the original $200 payment (which is not reversed if the payment is later disputed). There is also a chargeback fee. I have to account for these fees, and it seems odd to put them in QBO without any record of the payment and subsequent payment reversal.

How to fix rejected bank transfer

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