I'll share some information about how credit memo works, jennifer33.
We'll have to make sure that the Automatically apply credits feature is turned off. This way, QuickBooks won't auto-apply the credit memos as payments for newly created or open invoices. You can follow the steps provided by Kristine Mae to be guided in turning it off.
However, if it's still automatically applying the credits, I'd recommend getting in touch with our Customer Care Team. I know you already contacted us but our experts can review your previous case and run some test to rectify the underlying issue.
Here's how to connect with us:
- Click the Help icon.
- Select Contact Us.
- Enter a brief description of your concern, then click Let's talk.
- Choose Start messaging or Get a callback from the next available representative.
I've also included an article that will guide you in handling a customer credit or overpayment in QuickBooks Online.
If I can be of any additional assitance, please don't hesitate to insert a comment below. Stay safe and healthy.
