Applying a Vendor Credit

You can apply vendor credits to decrease the amount owed to a vendor. When you apply a vendor credit against an open bill, the amount of the credit is deducted from the total amount of the bill.

You can apply a vendor credit to a bill on the credit transaction or on a payment transaction. You can also apply part of a vendor credit.

To apply vendor credit on the credit transaction:

Go to Transactions > Payables > Enter Vendor Credits > List.
On the Bill Credits page, click Edit next to the credit you want to apply.
In the Items subtab on the Bill Credit page:
- Check the Auto-Apply box if you want NetSuite to apply the credit amount to the oldest vendor bills due.
- Click the Apply subtab to apply the credit toward a specific vendor bill.
- Check the Apply box next to the bills you want the credit applied to.
Click Save.

Now, when you include the bill you credited on a payment, your payment amount reflects the vendor credit.

You can also apply vendor credits when you enter a payment transaction.

To apply credit on a bill payment:

Go to Transactions > Payables > Pay Bills.
On the Bill Payment page, check the Pay box next to each bill you want to pay and each credit you want to apply.

You must have open bills from the vendor to apply a credit from that vendor.
Click Save.

The vendor credit is applied to the bills for that vendor, and the credit amount is deducted from the total amount paid to the vendor.

To apply credit on a single vendor payment:

Go to Transactions > Purchases/Vendors > Pay Single Vendor.
On the Bill Payment page, select the vendor you want to pay.

Open bills and credits for that vendor appear.
Check the Apply box next to each bill you want to pay and each credit you want to apply.

You must have open bills from the vendor to apply a credit from that vendor.
Click Save.

The vendor credit is applied to the bills for that vendor, and the credit amount is deducted from the total amount paid to the vendor.

After you have applied a vendor credit, you can review how it was applied in the following ways:

On a Payment:
1. Go to Transactions > Payables > Pay Bills.
2. On the Bill Payments page, next to the payment, click View.
  
  The Credits Applied subtab shows which credits were applied.

On a Credit:
1. Go to Transactions > Payables > Enter Vendor Credits > List.
2. On the Bill Credits page, next to the credit, click View.
3. The Apply subtab shows which bills were credited.

If you void a bill payment, the credits previously applied no longer show on that payment.

Important:

After you have applied credit to a bill, deleting the bill payment does not automatically unapply credits that were applied to it. You must unapply the vendor credits separately.

To apply vendor credit on the credit transaction:

To apply credit on a bill payment:

To apply credit on a single vendor payment:

Related Topics