Record vendor credits
Capture credit notes received from vendors and apply them against open bills or settle them as refunds.
A vendor credit is a credit note the vendor issues to your firm — typically for returned materials, over-billing, or a cancelled service. The credit reduces what you owe the vendor and can be applied against open bills or settled as a bank refund.
Record a vendor credit
Step 1: Open CRM → Purchases → Vendor credits
Click New credit.
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Step 2: Pick the vendor and the source bill
If the credit is against a specific bill, link it so the bill's outstanding drops. Otherwise, record as unlinked (available to apply later).
Step 3: Enter credit details
Vendor's credit note number, Date, Amount, Reason, line items (if the credit is partial).
Step 4: Attach the vendor's note
Upload the vendor's credit note PDF.
Step 5: Save
The credit shows under the vendor's outstanding as a negative line item.
Apply against an open bill
Step 1: Open the credit → Apply
Pick the open bill. The applied amount reduces the bill's outstanding; the credit's remaining amount reduces by the same.
Settle as a refund
If the vendor sent cash back instead of issuing a credit, use Mark as refunded on the credit and reference the payment-received that recorded the cash coming in.
What's next
- Bills — the originating bill a credit usually reverses.
- Payments made — reconcile credits against open balances.