Hi I have made a payment through my internet banking to a vendor but was returned due to wrong information, how can I enter the returned amount in the system?

I’m glad to see you in the Community, saif1.

Allow me to guide you on how to enter the returned vendor payment into QBO. Let’s use the Bank Deposits feature to record the entry.

Here’s how:

1. Go to the New menu on the left panel to choose the Bank deposit under the Other section.
2. This will take you to the Bank Deposit page.
3. Scroll down to the Add funds to this deposit section to input the details of the returned payment.
4. Once done, click Save and close.

I recommend consulting an accountant on what specific accounts to use recording the transaction to ensure the accuracy of your books. For more insights about the process, see the Record and make Bank Deposits in QuickBooks Online article. It provides an overview of how to put the put transactions into the Undeposited Funds account and steps to combine payments.

For tips and solutions on how to handle suppliers' transactions such as paying bills, expenses, etc, see the Manage Suppliers and Expenses for QuickBooks Online  guide.

Reach out to me if you need assistance with any of these steps. I’m more than happy to help and make sure this is taken care of for you. Have a great day ahead.