Credit Memo

How to add a credit memo and how to apply to open receivables

Daiana avatar
Written by Daiana
Updated over a week ago

In general terms, a credit memo is a document reducing the amount that the buyer owes to the seller under the terms of an earlier invoice. This is what you need to know to create a Credit Memo in X-1FBO:

  • It is created in Accounts Receivable

  • It can apply to customers or payment processors

  • It requires a posting date for accounting integration (sync) purposes

  • It requires a Credit Memo GL account to be set up under Accounting Settings/Use A/R GL accounts:

Step 1.

Step 2.

Step 3.

  • Select either a customer or processor you wish to make the credit memo for

  • Fill out all required fields

  • Use the Save & Print option to pull the credit memo document with available credit information, or simply select 'Save' and continue to apply to open receivables.

  • Credit memos have a CM- designation as the received ID

How to apply a Credit Memo in X-1FBO:

  • Locate Credit Memo entry under Review Payments/Open Payments

  • Select 'Apply'

  • Select invoice(s) the credit memo will be issued for

  • Apply and continue or close accordingly

  • Print credit memo document to check available credit, amount applied, and invoices associated. Use this document to email your customers.

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