Credit Card Chargeback

Overview: When your customer disputes a credit card charge and is credited back, that transaction needs to be accounted for in Point-of-Rental. You will need to adjust on the contract to show that money is still owed or not owed and make accounting entries to reduce your bank account.

1.   Before you begin, make sure you have a disbursement item designated for credit card charge backs. If you do not, in Configuration>Accounting Configuration>Disbursement Items you can add one. If you need help please refer to the how to,

2.   From the Program Menu>Accounts Receivable>Account Payments or can be done from Counter System Customer Dashboard>Tools

3.   Select your customer. Once at the account payment screen, select "Make a Payment".

4.   Enter the amount of the chargeback in the Payment Amount field. In the example below it was -$105.71. When entering the amount, be sure to enter it as a negative value, showing a refund rather that a payment.

5.   Select ‘Credit Memo’ as the payment method. This is will not actually refunding the customer. If you were to choose Credit Card, you would refund the money back to their credit card; ultimately duplicating what the credit card company has already done

6.   Next you will be prompted to select a disbursement item; select the disbursement item for Credit Card Chargebacks. Next, add a comment; you are required to enter something in this field.

7.   Click "OK" and answer Yes to the amount being correct and Yes to correcting an account payment. 

8.   If the contract does not appear in the account payments screen check the "Show Completed" box at the bottom center of the screen. If it still does not come up that means it has been archived; you can click the "Historical" button to see a list of archived transactions. Select the appropriate one.

9.   Click on the Amount Owed Box for the contract you are un-paying.

10.  By clicking the $0.00 in "Owed" POR will automatically un-pay the contract. 

11.  The Funds Remaining should be zero.

12.  Select the "OK" button at the bottom of the screen.

This process will generate GL postings that reduce income, sales tax, and your bank account. The contract will show as unpaid and will be part of your accounts receivable