There are three ways to issue credit to a customer. In this article we will explain each of them and how to use it on an order.
Issue A Credit By Creating A Journal Entry
The first way of issuing credit is via a journal entry. To create a journal entry:
Open the “Main Menu” and select “Customers“
On the ‘Customers‘ page:
Click on the “3 dot” menu.
Select “View Account“.
On the “Customer Account” screen:
Click on the “Action” dropdown.
Select “Journal Entry“.
On the “New Journal Entry” screen:
Set the transaction type to “Decrease”.
Enter the amount you would like to credit to their account.
Enter a reference.
Click “Save“.
You can also change the transaction date by clicking on the calendar icon at the top right.
You can view the journal entry from the customer account page by clicking on the ‘Filter’ dropdown and selecting ‘Journals’. Since this journal entry is a credit it can also be viewed under the ‘Credits’ filter.
Issue A Credit By Creating A New (Unapplied) Payment
The second way of issuing credit is by creating a new payment, also from the customer account screen:
Click on the “Action” dropdown.
Select “New Payment“.
On the “Payment” screen:
Select a non-integrated payment method such as cash or check.
Enter the amount.
Click “Pay“.
You can choose to notify your customer by checking the box “Notify Customer?” in which case you will be able to edit the email before sending.
Be careful NOT to select an integrated payment method. Make sure to select something like "Cash", "Check" or "Other" as the payment method, or you will actually take money from the customer.
To see the payment you created:
Click on the “Filter” dropdown.
Select “Payments“.
You will find your most recent payments at the bottom of the list.
Create A Credit By Adjusting The Order Total
The third way of creating a credit is to Unapply the Payment from an Order, then adjust the Order total to the correct “Final Total” and Re-apply the payment to the Order.
This method is useful for situations where the customer is in need of a Refund but instead has asked to be given a Credit on their account
To start you will first need to Unapply the payment on the order / invoice:
Click on the “$” icon.
Select “Payments“.
Click on the “three dots” menu.
Select “Unapply“.
After Un-applying the Payment from the Order you will then “Edit” the Invoice and adjust the total to the correct “Final Total” by changing the “Retail Price” of the line items on the Order.
Exit edit mode once you are happy with the invoice total value.
TIP - You can edit the retail price of multiple line items at once by first clicking the checkbox to the left of the line items you would like to adjust, then clicking the checkbox dropdown menu at the top left corner of the job, and selecting 'Change Item Retail Price'.
After adjusting the Invoice total down to the correct “Final Total” Re-apply the Payment to the Invoice:
Click on the “$” icon.
Select “Payments“.
Click on the blue hamburger menu as indicated in the image below.
Find the Payment again and then check the Box, and click “Apply“.
Note: The amount being applied is not the same as the "Payment Total" the difference between the amount being applied and the Payment Total will be left on the Customers account as an "Open Credit".
Find and Apply Credit To An Order
After you have Created the “Credit” for the Customer you can then go to their Customer Account and find the Credit(s):
On the “Transaction” tab of the Customer Account screen:
Click on the “Filter” dropdown.
Select “Credits”.
This will bring up a list of all the “Open Credits” on the Customers Account, which you can then apply directly to any Orders or from the Customer Account screen.
We will show you both options below.
Apply Credit On An Order
To apply credit on an order:
Click on the “$” icon.
Select “Payments“.
Click on the blue hamburger menu.
On the “Apply” screen:
Check the box of the credit you want to apply.
You can change the amount being applied by entering a custom amount.
Click “Apply“.
If you do not Apply the "Full Credit Amount" to the Order the rest will be left as an Open Credit.
You can then see the credit on the order, with the total value of the credit on the left and the amount being applied on the right.
Apply Credit To An Order From The Customer Account
To find the “Open Credits” on the Customer Account screen:
Click on the “Filter” dropdown on the Transactions tab.
Select “Credits”
After finding the “Open Credit” to apply:
Click on the three dots menu.
Select “Apply“.
On the “Apply” screen find the Order to apply the credit to:
Check the box.
Click “Apply”.
If you do not Apply the "Full Credit Amount" to the Order the rest will be left as an Open Credit.