Apply Credits to an Invoice

Summary: 

This article explains in brief how users can use available credits while making an invoice payment

Article Contains:

• Credit Memo
• Applying Credits to an invoice
• Invoice payment with credits and discount
• Invoice payment with credits and credit card surcharge
• Payment Receipt with Credits

Credit Memo

A credit memo (or a credit note) is a document issued by a seller to a buyer, indicating a reduction in the amount owed by the buyer.

A credit memo usually has the customer name, invoice number, and the amount being credited.

Seller can issue multiple credit memos against an invoice.

Applying Credits to an invoice

Users can view credits available against an invoice in the Credits column on the customer portal.

Users can apply credits to an invoice by clicking on the credit icon against the invoice to open the credits panel.

Users can either enter the credit amount in the field or can click on 'Select and apply credits' when more than one credit memo is available.

Once the credit amount is entered, users can click on Apply to save the credits application to the payment amount.

Users cannot apply credits exceeding the outstanding amount

Invoices with successful credits application are indicated with a filled credits icon.

Users will have to continue and confirm making the invoice payment in the 'Pay' tab.

When users have paid the full outstanding amount of an invoice with credits, the payment method changes to 'Credits' instead of ACH or Credit Card.

Users can club credits payment method with ACH or Credit Card payments in the same payment session.

Invoice payment with credits and discount

When discounts are available against an invoice, the discount amount is automatically applied and is deducted from the payment amount.

In this case, the credits applied cannot exceed the payment amount.

Invoice payment with credits and credit card surcharge

When an invoice payment is made by credit card and a surcharge is applicable, the credits applied will cover for the outstanding amount of the invoice but will not cover the surcharge on the payment.

Payment Receipt with Credits

Users can always view the amount of credits applied by clicking on the payment amount in the 'Paid invoices' tab.

Users can view the total payment amount for a payment with the discount or credit amount deduced from the outstanding amount.

In the payment receipt email sent to the user, users can view the credit memo number applied to make the payment.