Hi GunTower19930!

Currently, the Record Bounced Check option is for the Check only, and not the e-Check payment method. Let me help you on how we can fix the rejected e-Check

We can manually record the rejected e-Check. What we'll need are an income account and a bad check charge item. Follow these steps on how to set up an income account:

1. Go to the Lists menu and select Chart of Accounts.
2. From the Account dropdown, select New.
3. Select Income an account type, then select Continue.
4. You can name it Bounced Checks Income, then Save & Close.

Follow the steps in the Create an item section of this article on how to add a bad check charge item: Add, edit, and delete items. Make sure to select Other Charge as the type of item, leave the amount as zero, non-taxable, and select the Bounced Checks Income you created as its income account.

We can now create a journal entry. You'll need to debit the account receivable (A/R) for the same amount of the rejected e-Check and credit the bank account that received the original deposit.

Then, we need to switch the payment for the invoice to the reversing journal entry.

1. Go to the Reports menu, select Customers & Receivables, then choose Customer Balance Detail.
2. Find and double-click the original e-Check payment transaction.
3. In the Receive Payments window, move the checkmark from the invoice to the reversing journal entry.
4. Select Save & Close.

Once done, the original invoice should be open again and you can apply a new payment to it.

You'll want to check this link: QuickBooks Payments FAQ. This includes different articles that will help you in managing your payments with QuickBooks Payments.

Do you have additional concerns? Let us know by commenting again here and we'll assist you. Thanks!