Credit Notes

Credit notes can be manually created in your customer's billing account, or generated by the system when an invoice is overpaid. They can be applied to any unpaid invoice with a balance.

Table of Contents

1. Creating Credit Notes
2. System-Generated Credit Notes
3. New! Applying Credit Notes to Invoices
4. Voiding Credit Notes

Create 

To create a credit note, go into Billing > Posted > '+ Create' > select Credit Note 

From here, you'll enter the required information before posting the Credit Note. 

System-Generated Credit Notes 

Additionally, when an invoice is overpaid, the system will automatically generate a Credit Note for the excess amount. For instance, if you pay $150 on an invoice with a $100 balance, a $50 Credit Note will be created to reflect the overpayment.

Apply

To apply a credit note, select Apply on the right and the Credit Note window will popup. 

Click "Apply Credit Note to Another Invoice". You can then search for the invoice(s) to which you would like to apply the Credit Note.

After applying the Credit Note, the system will create a Payment Profile for the application. The system will automatically generate a Reference Number that concatenates the Credit Note number with the Invoice Number for better discoverability. 

To unapply a Credit Note from an invoice, you must find the Payment Profile and void it. 

Void

Unapplied Credit Note

If you ever need to, you can always void a Credit Note by selecting the 3 dots on the right like in the image below. You can only void unapplied Credit Notes at this time. 

Updated 7/14/25