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Overpayment Refund
Derek Deng avatar
Written by Derek Deng
Updated over a week ago

Overpayment refund is performed when customers pay too much for products/services. Part of a customers' payment can be refunded to the customer's personal account only if that part of payment is not applied on any invoice. Overpayment refunds affect customer balance by decreasing money not used on any invoice.

Note that the payment amount applied MUST exceed the invoice total in order to issue an overpayment receipt.

Overpayment Refund

Creation: Overpayment refund can be created by clicking "Refund" button in Payment details page. Open balance for refunding payment is a must.
QuickBooks Online sync: Refund is synced to QuickBooks Online as an expense. Refund must be manually applied on Payment open amount (amount to be refunded).
​ Customer Credit Balance: Customer credit balance is decreased by the Refund amount.
​ Usage: Refund cannot be applied on invoice, payment or any other transaction.

Authorize.Net sync: Refund is synced to Authorize.Net if refunded amount is transferred to customer’s bank account (refunding a Credit Card or Payment Profile payment)

How to issue an overpayment?

First open an Invoice that has a payment applied which exceeds the total of the invoice.

Open the payment that you would like to issue a refund from. Click on the Refund button to issue an overpayment refund.

Make sure that Type is selected as ‘OverPayment’. By default, the amount to refund will be payment amount minus invoice total, thus equaling the payment balance. You can always adjust this amount if needed. Click Save and amount will be refunded to customer and recorded as an expense in QuickBooks Online.

Key notes for Customer Account to Balance

Once the refund is saved, you will be redirected to the refund. In the blue attention box, click on go to QuickBooks link.

Payment View:

Refund View:

After being redirected to QuickBooks click on the Payment you issued an overpayment from.

Select the check box to the left of Expense and click on Save

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