When a client or customer’s check bounces, you must adjust your Quickbooks account to reflect the lack of funds. Failure to do so may throw off your entire balance, forcing you to reconcile later in an attempt to find out why your Quickbooks balance doesn’t match your bank account balance. Thankfully, Quickbooks offers a simple solution to dealing with bounced checks and other forms of non-sufficient funds.
The next time you discover a bounced check from a client or customer, log into your Quickbooks account and click on the Receive Payments icon on the home screen. Now, scroll through the list of payments you’ve received until you find the bounced check. If you know the customer’s name, you can streamline the process by clicking Customers > Customer Center > Customer & Jobs. If you don’t know or remember the customer’s name, keep clicking the previous button until you find the bounced check.
Upon clicking the bounced check, you’ll have the option to specify a fee charged to you for the transaction. It’s not uncommon for banks to charge wire fees or other types of fees, for which this function is primary used. In this case, however, we’re going to use this field to specify the amount charged by the bank for the bounced check. Go ahead and enter the bounced check fee into this field and proceed to the next step.
You aren’t out of the woods just yet. Assuming you want to charge the customer for the bounced check fee (which you should), you’ll need to click the “yes” option next to the question “Charge customer for fee?” It’s important to note that you are free to specify any amount in this field. If the bank charged you $25 for the bounced check and you want to tack on an additional $25 as a “service fee,” you can enter a total of $50 to charge the customer. Click save and close when you are finished to complete the process. Sorry if you were expecting more, but that’s all it takes to record a bounced check in Quickbooks!
Did this tutorial work for you? Let us know in the comments section below!