FAQs in Xero - Overpayment by a Customer Xero
Xero is a brilliant solution for bookkeeping in the cloud - and it has a great online help with lots of video and user-friendly content. But sometimes clients want a quick answer to their "How do I do this in Xero?" questions and we're really happy to talk them through it. This week we thought it would be good to share some of those frequently asked questions, and our responses, in case you were wondering "How do I do this?" too.
Today's question: A customer has paid me twice for the same invoice. How do I record that, and the repayment I've made to them by cheque today?
Within the bank rec, go to the transaction and choose Create. Then click the "add details" at the bottom right of the blue box for the transaction.
Under Section 2 you'll see you have a section called Received As and a drop down - in there select Overpayment and the screen turns pink. Fill in the details and it attaches the overpayment to the customer's account so you don't lose track of it.
Then to record the cheque being paid back to them if you go into your Sales Invoices and look at Awaiting Payment you should see the Overpayment there as a credit on the account. If you click into it you can record the cheque payment at the bottom of the screen just as you can when paying a bill.