When a check bounces or a payment is dishonored, it’s important to update your records accurately to maintain correct financial reporting and tenant history. Select an option below to process these scenarios correctly within Re-Leased and QuickBooks Online.
Option 1:
Reverse the Original Payment in Re-Leased
- Locate the original invoice where the payment was applied.
- Reverse or remove the payment from the invoice to reflect that the funds were not actually received.
- This ensures that the invoice returns to an outstanding status and the tenant's balance remains accurate.
Raise a Fee for the Bounced Payment (if applicable)
- If your lease agreement allows for charging a fee due to a bounced or dishonored payment:
- Create a new Sales/Income Invoice in Re-Leased.
- Assign the correct amount and relevant tax code (if required).
- Save and issue the invoice to the tenant.
Option 2:
Processing a Bounced Check in QuickBooks Online
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Keep the original payment recorded against the initial invoice.
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Create a new income invoice for the same amount as the bounced check. This will reinstate the amount the customer owes.
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Add any related fees (e.g., bank charges) as an additional line item on the new invoice.
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Send the new invoice to the customer so they can make payment again.
For a more detailed walkthrough of how to process bounced checks within QuickBooks Online, you can follow this instructional video:
▶️ Watch the guide on processing bounced checks in QuickBooks Online