Issuing refund checks to customers

Situations arise where you might have to issue a refund check to a customer. This process progresses through several windows and multiple steps.

You begin the process to issue a refund in 3-2 Receivable Invoices, then you work in 1-3 Journal Transactions, 1-1 Checks/ Bank Charges, and you complete the process in 3-2 Receivable Invoices.

To issue a refund check to a customer:

1. Open 3-2 Receivable Invoices, and create a type 2-Memo accounts receivable invoice. In 11-2 Service Receivables, create an invoice with a status of 1-Open. How?
2. In the Invoice# box, enter 0000.

3. In the grid:

   1. In the Quantity column, type 1.
   2. In the Price column, type the amount of the refund.

   3. Use your checking account as the offsetting account.

      Important! You must use transaction number 0000 in order to print the check. If you have recorded other journal transactions with the 0000 number and they are still in an open status, they will also print when you print the check.

4. Click File > Save.
5. Click File > Recall.
6. Click Go to Transaction to open the 1-3 Journal Transactions window for this invoice.
7. In the Payee box, enter the name of the customer.
8. From the File menu, select Save.
9. Open 1-1 Checks/Bank Charges.
10. Click File > Print.
11. On the first line, from the list in the first field, choose the appropriate report form.

12. In the blank field on the Account line, enter the appropriate checking account number.

    Tip: If you need a list of accounts, double-click in the blank field.

13. From the File menu, choose Print.
14. Verify that the check number and date are correct, and then click OK to print the check.

15. Open 3-2 Receivable Invoices, change the number in the Invoice# box to match the printed check number.

    Note: In 11-2 Service Receivables, you cannot change the Invoice #.

16. To offset the positive and negative balances created when you issued the refund, follow the steps in Applying credit invoices to receivable invoices.

Published: October 03, 2018
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