Hello, Itaccuracy. The error prompt you received means. It is not possible to receive a refund for payments made by ACH or bank transfer.

To issue a refund for a sales receipt paid via ACH, please note that you must process the refund outside of QuickBooks Online.

Contact your Merchant Service Center directly and request a refund for the transaction, or you can log in to the portal.

Once the refund is handled outside of QuickBooks, you can manually record it in QuickBooks Online by creating a refund receipt or refunding the payment accordingly.

If you’ve got any questions, let us know.