Unlike with Payments, you cannot apply an item credit balance to another Customer. If Customer A has a credit to move to Customer B, you will need to follow these instructions. Since many folks are beginning to utilize the new Graphical Post Customer Payments, we've included a section on how to use that new module in this scenario, just below the Text version, which follows the initial steps that need to first take place in Customer Account Maintenance.
These steps are written based on Date Driven Functionality in the BMS System, meaning the Date entered informs the G/L Period. Documentation on Date Driven Functionality is attached to this article.
First, you'll add an Invoice via the Customer Account Maintenance module using a Clearing G/L Account to Customer A—the customer with the credit balance—to apply to the credit balance via Post Customer Payments that will need to be cleared:
- Navigate to Accounts Receivable > Customer Account Maintenance; select Add and click Continue.
- Select the Branch and Item Date.
- The Posting Period will be automatically selected based on the Date selection.
- Input the Customer ID and for Item Type, select Invoice.
- Enter an Item Number to use for the Invoice (this may include the original Job Number.)
- At Beg. Balance, enter a positive amount - this will be the same amount as the Credit Memo; Curr. Balance will update to match the Beg. Balance.
- Enter through the next fields to the G/L Acct and choose a Clearing G/L Account (a non-bank account). If Debits = Credits, you can click Save.
Example screen:
Next, you will add a Credit to Customer B's account, distributing to the same Clearing G/L Account. Follow the steps above, but use Item Type of Credit and enter a negative amount in the Beg. Balance field.
The next step is to apply the new Invoice on Customer A’s account to their credit balance in the Post Customer Payments module.
In Post Customer Payments, select the Customer ID for Customer A. In the Prior Payments and Credits section, highlight and double-click to select the Item with the Credit Balance or Credit Memo, as in the illustration below:
From the list of Invoices in the box above Prior Payments, select the Invoice you just created in Customer Account Maintenance and double-click to Select. You will then click the Accept button at the bottom right. The system will prompt a box displaying the action you are about to take. Click Yes to continue and complete the process. It's a good idea to add a note to the Customer Account and the job outlining what you did, so if you need to reference it in the future, you will have that information.
Repeat the process above in Post Customer Payments for Customer B, but this time you will select the Credit Memo you created in the first step above and apply it to the Invoice that the original credit should have been applied to but was mistakenly added to Customer A’s account. If the credit needs to sit on the account until an Invoice is generated, that is fine.