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How do I Apply Credit Amount for my Invoice?

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Updated on July 24, 2017 11:55PM by Admin

What would you do if your customer overpays or makes the payment twice, by accident for an invoice.

These things can happen by mistake and there are ways your firm can easily handle the overpaid amount.

Apply it to another unpaid invoice
Create a credit note as the amount cannot be refunded
The access credit can be applied to the future invoice.

However, its a good idea to check with the customer their preferred option.

The Invoices App provides an option to handle the over payment from a client for an Invoice. This overpaid amount can be treated as credit notes, but refunds are not possible. When generating the next invoice, you can apply the overpaid amount by the customer accordingly.

Steps to Allow Overpayment for Invoices

  1. Log in and access Invoices App from your universal navigation menu bar.
  2. Click on "More" icon and select "Settings" at the app header bar.
    invoice-settings
  3. Click on "Overpayments" from "Payments" drop down.
    overpayments
  4. Toggle on “Allow overpayment” which allows over payment for users to be credited in the Credit Notes App.
    allow-overpayments
  5. Consider you are creating an invoice for the "Customer = Richard" with "Invoice Amount = 50000 AUD".
    create invoice
  6. Now, Richard overpays that invoice by paying the invoice amount as 60000 AUD.
    payment
  7. In this case, a credit note is created automatically with the amount overpaid (10,000 AUD) and that can be used for the future payment from the same customer (Richard).
  8. So now when you create an invoice for the next month with "Invoice Amount = 80000 AUD", the overpaid amount will be shown in the "Available Credit Limit" field as shown:
    credit amount
  9. Enter the desired amount of credit you would want and click on "Apply".
    enter credits
  10. The credit amount is now applied (10000 AUD), denoting that it is enough that Richard pays 70000 AUD.
    applied