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Can I apply a credit memo to an invoice in a deposit batch?

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Posted on by JenniferLongmore

A customer paid several invoices on one check and took a credit on the same check. We try to make our ledger deposit amounts match our physical bank deposit amounts for easier reconciliation. The check had two different customer accounts as well as the one credit. We handled each customer account as separate payment entries in the batch, then applied the credit taken on the check in the same batch. The credit, however, threw off the batch amount and threw off cash... I've been told by one "expert" that you have to apply all credit memos in their own separate zero batches. I've been told by another that it isn't a problem. Can anyone tell me definitively?

Thanks!

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JenniferLongmore 5 on at

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RE: Can I apply a credit memo to an invoice in a deposit batch?

Thank you! We are going to try a separate entry with a control of the credit amount and then selecting the correct CM to apply to bring the balance for the transaction to zero...
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Mark E 6,405 on at

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RE: Can I apply a credit memo to an invoice in a deposit batch?

I've never had a problem applying a Credit Memo to an Invoice within a Payment Application batch that includes AR Cash deposits. The Credit Memo application is a zero dollar event, as there is no dollar amount to enter in your totals. You are simply selecting a previously entered Credit Memo and applying to an open Invoice. Same situation for applying a previously entered Cash Deposit that was left unapplied.