Question asked by Paul Walpole 7 years ago
Hi,
A direct debit bounced as we didn't have the funds in the particular account at the time. How is best to reconcile this on the bank account?
For the record the direct debit is for several bills already created.
Cheers
Paul
I would suggest creating a Bill for the full value of the DD allowing for this to be reconciled. This Bill will then need to be reversed by creating a Purchase refund, this is done by recreating the same Bill but with negative values, allowing for the returning funds to be reconciled.
It may be worth including an explanation in the summary field, as a reference when looking back over these bills in the future.
Best answerHi there - in practice most people would just ignore the money out and money in, ie delete them from the bank statement as if they never happened. If you wanted to record them however I would just put them both to a suitable balance sheet account such as sundry creditors, using the supplier's name and treating the money in as a refund.
Thanks Theo appreciate your help
Kind Regards
Paul
Hi Theo,
Yes the funds leave then return.
Cheers
Good Afternoon Paul,
How does this bounced DD show on your bank statement? i.e. does it show funds leaving and then returning to your account?
Can anyone advise please?
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