How to Handle Returned Checks in QuickBooks Online and Enterprise 2017

How to handle returned checks in QuickBooks

In QuickBooks payments are done through both cash and check by the customers or vendors. The checks are used for the security and safety purpose by the customer to keep the record of check like check number etc. When a check is returned by the QuickBooks it means that there was some issue with the check payment transaction.

Either there is a mistake in printing the check or might be the check has been bounced in such cases QuickBooks have separate account for keeping all the payments, invoices and expenses in queue where the QuickBooks check has a different column where you can track all the details regarding the returned checks in QuickBooks.

This might happen due to non-sufficient funds with the customers due do that the check gets bounced or returned to the company so that if the check is bounced the details gets updated to the QuickBooks from the bank and the all the bank statements like all the previous record is also checked with the customer to see if the issue is appropriate.

There are two kinds of return check issued in QuickBooks:

1. Single user mode

• Go to customers menu and select customer center
• Select the option of received payments through the transaction tab
• To record the non sufficient funds select the payment where it needs to be done.
• There is a option of received payments where the bounce or returned check must be removed.
• Go to manage returned check window check bank fee and date with the class and expense account and the charged amount from the customer.
• Then a detailed display will appear for the returned check and summary.

2. Multi user mode

• In multi user mode the account is checked and entered manually by selecting the list from chart of accounts
• Select new then income and then enter return check amount before save and close.
• Go to the list menu of QuickBooks select new there and then non sufficient funds would b monitored in details by QuickBooks.
• In the customers menu select invoices creation and then select bad check charge so that the returned check would be removed and the new payment check is prepared in QuickBooks.

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