Best Practices For Recording Chargebacks In QuickBooks Online
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- เผยแพร่เมื่อ 4 ต.ค. 2024
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Index
04:04 ClickUp overview on feedback from audience
06:20 What is coming up with Nerd Enterprises Inc.
10:30 Purpose of the video - Chargeback, what is it?
12:30 Chargeback process
14:50 Customers who win the chargeback
16:30 Other meaning for chargebacks
18:19 Recording a Chargeback in QuickBooks Online similar to NSF
19:20 Adding in a new customer in Customer information in QuickBooks Online
20:23 Adding the invoice in QuickBooks Online
20:46 Adding in the payment on the invoice
22:20 Scenario of a dispute explained
26:45 Adding in the charge back as an Expense in QuickBooks Online
29:40 News on Stripe, will no longer refund the fee from the chargeback
34:20 Adding in the charge back as an invoice in QuickBooks Online
40:00 Customizing the Open Invoices Report in QuickBooks Online to display memo
42:57 Invoice date discussion and back dating to the original invoice
45:05 Sales Tax Purposes on the invoice
53:00 Using pipes as a delimiter
57:00 Audience discussion on chargebacks
1:00:50 Some merchants allow for you to add in anything you want in the memo
This content is for information purposes only and should not be considered legal, accounting or tax advice, or a substitute for obtaining such advice specific to your business. Additional information and exceptions may apply. Applicable laws may vary by state or locality. No assurance is given that the information is comprehensive in its coverage or that it is suitable in dealing with a customer’s particular situation. Nerd Enterprises, Inc. does not have any responsibility for updating or revising any information presented herein. Accordingly, the information provided should not be relied upon as a substitute for independent research. Nerd Enterprises, Inc. does not warrant that the material contained herein will continue to be accurate, nor that it is completely free of errors when published. Readers and viewers should verify statements before relying on them.
Regarding the fees and losing a chargeback (in response to your discussion around the 25min mark), quickbooks doesn't refund you the original fees for the charge, and on top of that they charge you any bank related fees linked to the chargeback. This just happened to me over an ACH chargeback.
That may be, because it's ACH and not credit card. For credit card payments they will usually refund "most" of the fee.
I don't know if this was true two years ago but I know that now they do not refund the fees with credit cards and they charge $25 for each chargeback whether you can prove the charge was valid or not. @@nerdenterprises
We just had a charge back on two CHECKS, we deposited from a customer, a week ago. Our bank did call us telling us what happened. The company said they did it because of the wrong address. (It had recently changed) But they did do a charge back on a check also.
With a check it is usually an NSF / Returned check which works a little differently.
Hard to justify a "chargeback" on a check when the maker engages in the very deliberate act of writing that check. So how can they say it is unauthorized unless they were drunk, or under some kind of duress?
Hello can you please explain in details the messy/fun part the one you mentioned 4,900 in chargeback charges included in the $100 payment. How would you log this in? We deal a lot with ecommerce customers with constant chargebacks & reversals after disputes & everything is included in through their payments.
How to respond on the QB transaction chargebacks & QuickBooks using which credit card processing platform ?
Are you asking how you should respond to the charge back itself?
I have a client that had a chargeback. She didn't know to argue it but instead drew up a new invoice and the customer paid it. Now how do I handle the bank feed chargeback payment?
Follow the cash. When the chargeback was issued money was taken out of the account. Since we now know you invoiced and collected again, the charge back should go against income to offset the duplicate income.
Hey, I know this is four years down the line but I have a couple of questions. First, does this actually reduce the bank account? I can match the banking but I have do that by linking to the new invoice and I don't know if this would be the correct thing to do. Also, doesn't this result in a double invoice? Meaning that since the original invoice has not been voided, we are charging twice for the same product at the end of the day and making twice as much money and paying twice as much tax.
Hey there.
Yes, it reduces the bank account.
No, it doesn't double the income because in the second invoice you are not invoicing for the product or services.
You are reducing the bank account for what was taken back, and increasing accounts receivable to reflect that the customer now owes you the money.
And then if you choose to you, are charging to recoup any bank fees you incurred from the returned payment.
I know you were keeping it simple there, but I've got the annoyance of Merchant Services deducting the chargeback from a daily deposit 2 weeks later. I need to both reconcile the chargebacks for the deposit and assess the customer's account while going through the dispute response. I won the first chargeback, but now it's going to arbitration and this is becoming a tennis match as Merchant Services debits/credits the wins/losses against daily deposits. It's rare that we have chargebacks and rare that we lose, so usually it's just a matter of expensing the chargeback as a check against the customer then voiding when we win. Should I use the Journal Entry Method to be able to credit/debit the Undeposited Funds ledger so the debits/credits are available to my Payment List? Thoughts? For the record: I was saddened when you talked about this scenario but said you were going to keep it simple :) I said a silent "aw crap."
I wouldn't use Journal Entries in Undeposited Funds. I would show the funds as deposited (because that's what usually happens first). Then when the chargeback hits, post a payment against the account where the chargeback hits, and post that to the customer's A/R so that it show that they now owe the money again. Then when you win the chargeback, receive a payment from that customer to close out the A/R.
I have to keep it fairly simple for TH-cam, or else I'd be spending all of my time thinking of every possible use case and making a video for it.
I do offer 1:1 for the more complex, more specific situations.
@@nerdenterprises That's what I've done before, but when Merchant Services deducts from a daily deposit, how do I get the payment into the affected deposit?
@@nerdenterprises I also could record the debit by merchant services in the affected deposit as a negative amount "from" the customer and select the A/R account. This makes it show up as a balance due in the customer's account, but isn't associated with a payment or invoice (I put the Chargeback Case # in the memo). When I win the chargeback, I can then receive a payment in the customer account that zeroes the debit deposit in that customer's A/R. If I lose, then I have to write that off as bad debt on that customer's account.
@@parichard6540 That's exactly what I was going to suggest. Now if your total deposit should ever go negative because the chargeback is more than the total of the payments for that day, watch this video --> th-cam.com/video/VwncQWGlhkU/w-d-xo.html
A disappointing video. More talking about " | " than solving the problem of chargebacks. you only show how to (or discuss) how to issue the initial chargeback transaction. No mention of what to do if you win or lose. There are also tax implications that are not discussed at all.
an hour video that could have been done in 10 min :)