Creditors and debtors control accounts

How-to
1

Some prepayments in the creditors control account relate to invoices overpaid and invoices entered in error. How can these prepayments be removed?
The debtors control account has a bank payment to a client for a refund of an overpayment listed in the prepayments. How can the bank payment and prepayment be matched so that they don’t appear in the year end report?

2

Hello @KarenT

Some prepayments in the creditors control account relate to invoices overpaid and invoices entered in error. How can these prepayments be removed?

They would have to be refunded.

  • invoices entered in error - these are errors and should not have been there
  • invoices overpaid - did the customer get the money back?

How can the bank payment and prepayment be matched so that they don’t appear in the year end report?

  • Record a bank receipt on the same day as the bank payment to reverse it out (they both net off)
  • Refund the prepayment on the same date as the above to correct you bank (it replaces the bank payment)
3

Thanks for the quick reply. Please see my responses below.

Kind regards

Karen

4

Hello @KarenT

I can not see any responses below , can you please resend them.

5

You’ll need to reply using the web interface rather than reply by email.

6

Sorry I replied to the email earlier instead of through here!
The supplier invoices entered in error should not have been there.
The overpayments to suppliers are to be written off as the invoices were recorded incorrectly.
Could you explain how to refund a prepayment to a customer?

Thanks

7

Thanks, I have done that now.

8

You need to go to the relevant unallocated payment record and “refund balance” from there. There’s a few ways to get to the payment record, you can start from the client summary page, view payments and then search for unallocated, or if you know when the original payment came in you can find the tagged transaction in your bank account, click the green “tagged” button and then follow the “This payment is …” link in the popup.

9

Thank you all sorted !

10

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