I appreciate your prompt reply, @userp-byrd.

You got it correct. The option to change the detail type of the Undeposited Funds account is not possible in QuickBooks Online (QBO). As my colleague stated above, the account is an internal “other current asset account” created by QuickBooks to hold your funds.

As a workaround, you can create a Current Asset account and deposit the funds from there instead of the Undeposited funds. Let me walk you through the steps:

1. Go to the Gear icon.
2. Select Chart of Accounts.
3. Click New to create a new account.
4. In the Account Type drop-down, choose an account type.
5. From the Detail Type drop-down, select the detail type that best fits the transactions you want to track. 
6. Give your account a Name and Description.
7. Enter the needed information and select Save and Close when done.

You can also check this link for more details about the process: Add an account to your chart of accounts in QuickBooks Online.

Once done, you can now use the account to record your customer payment. Just select your Current Asset account from the Deposit to drop-down menu. 

Let me also add these links that you can use for reference in case you need to make a bank deposit and reconcile your account:

• Record and make bank deposits in QuickBooks Online
• Reconcile an account in QuickBooks Online

I’m always ready to assist you if you have any other questions or concerns about managing your Undeposited Funds or with your accounts. Tag me in your reply and I’ll sprint back into action. Have a good one and keep safe.