How To Reissue A New ACH Payment on QuickBooks
While running a business, you may run into the issue of one of your vendors not receiving your payment, although you sent it and it was deducted from your bank account. Regardless, where the money went, your vendor wants to be paid. Here’s how to make this work in your books so they don’t turn into a disaster.
Let’s say your vendor is Ashley’s Apples. Pull up their information via the Vendors tab in QuickBooks. You’ll see in your records that the $500 payment you made ACH (Automated Clearing House - basically, they take care of transferring mass amounts of money for vendor payments, payroll, and direct deposit) and that Ashley’s Apples never received it. Your bank register says the money was cleared from your account, so voiding the check isn’t an option.
Cut Ashley’s Apples a check for the $500 in the current month. In the memo section, explain the reason for the payment. Try to make your check identical to your first payment by using the same account and paying their same account. Now, Ashley’s Apples will finally be paid, and we can deal with fixing our books.
When you look at your Check Register, you’ll see two payments for Ashley’s Apples - the original payment via ACH and the check you just cut. Once the bank confirms that the first check (the one Ashley’s Apples did not receive) has not been cashed, you’ll get your money back after X number of days, according to the bank’s terms and agreements. Knowing you’ll get this money back, you need to make a deposit in your books using the same date as the second check. Use the vendor’s name, Ashley’s Apples, and also the same account. In the memo, explain why you received this money and that the payment was reissued.
Check out our video tutorial to see all of these steps take place.