Entering a Returned Check (Step 1 of 3)
This Solution, along with Solution# 5178 and Solution# 5179 (linked below), describes the process for entering a returned check. The general process is to create offsetting miscellaneous invoices for the amount of the returned check, and then receive and deposit the negative invoice. This is the first of three solutions detailing the process. (5177)
Step 1. Create Miscellaneous Invoices
Open up the Miscellaneous Sales tool in the Customer toolbar and create two invoices for the same Customer. One invoice should be for the positive amount that is due (they still owe you this money) and one invoice for the negative amount of the returned check (you need to back this amount out of Big Business).
If you'd like to impose an additional charge on the Customer, make the positive Misc. Sale for the total. For example, if your policy is to charge $25 for NSF checks, and the customer has bounced a $100 check, make the Misc. Sale for 125.00.
If you already know that your bank is including a service charge in the amount being deducted from your account, make the negative Misc. Sale for this amount. For example, if the returned check is $100 and the bank has notified you that your account was charged $110, make the Misc. Sale for -110.00 to simplify your next Bank Reconciliation.