Issuing a refund to a client with prepayments on account

Hello,

A client normally pays us by transferring miscellaneous amounts from time to time. We add these amounts to his account and they register as prepayments. We then log payments from these as we issue the invoices.

Now the agreement has come to an end, he has credit on his account - essentially he has overpaid us. So, We transferred the overpayment/remaining prepayment back to him.

The question is, in the banking section, how do I tag that payment back to him in a way that reduces his account back to zero and makes sense of the fact we are giving his money back?

I hope that makes sense! Thanks

If you go to the client’s summary page, view all payments, then advanced search and select the type “unallocated”, then that will give you the prepayments that haven’t been allocated to invoices. If you click through to each payment (hopefully only one or two) there will be a “refund balance” button at the top.

This will create one or more new pre-tagged transactions in the bank account, they should add up to the value you refunded, and you can delete the untagged transaction.

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Ah, perfect - exactly what I was looking for. Thank you!

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