How do I clear a returned payment (Failed ACH through Bill Payment) from Bank Transactions?

Forum|Forum|1 year ago
August 27, 2025
1 reply
20 views

I paid a vendor $300 through ACH (QBO Bill Pay) and the payment failed. It looks as though QBO treated it correctly as the balance has been returned to AP and aging matches and the vendor account has the $300 back. But the $300 is sitting on my Bank Transactions page and QBO thinks it's an Expense fropm Intuit. Should I just exclude it?

QuickBooks Online

Anonymous

Hello there, Jack.

Yes, you are correct. You need to exclude the returned payment transaction from your bank to avoid duplicate records in your books. This will help prevent an incorrect increase in your bank balance and avoid reconciliation problems.

For more details, check out this article: Exclude a bank transaction you downloaded into QuickBooks Online.

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