Hello, How can I refund a security deposit?

Hi, @istracion-vamosb. Let me provide some information about refunding a security deposit in QuickBooks.

There are two ways to enter security deposits. You can either create a liability account to report a product/service item or post a bank deposit directly to the liability account. If you post security deposits you receive to a liability account, the proper way to record this is to issue a check for the portion to be refunded. 

I'll guide you on how to issue a check:
 

1. Select +New.
2. Under Vendors/Vendors, select Check.
3. Enter the check information.
4. In the Account details section, select the liability account you use for security deposits from the Account column dropdown list.
5. Select Save and Close.

Then, record an invoice for the remaining amount, and then enter a credit memo/adjustment to correct the liability account. For the detailed process, please see this link: Refund a security deposit. Please know that the article given is for the US version but is still applicable for international or other regions.

Furthermore, you can also visit this link to help you understand the process of recording deposits in QuickBooks as your future reference: Record and make bank deposits in QuickBooks Online.

Please let us know if you need further assistance with security deposits. The Community is available 24/7 to help you. Take care and have a good one.