What is a Credit Note?

What is a Credit Note?

When you cancel a paid invoice and the payment was made in cash or by check, or if it wasn't refunded to the credit card used for payment, a credit note is generated. A credit note serves as a replacement for the refunded amount and can be applied to any other unpaid invoices for the same organization. This allows you to easily offset the remaining balance on those invoices without the need for additional payment. It's important to keep in mind that credit notes can only be used once. So, if you use a credit note to offset an unpaid invoice and then that registration is cancelled, the remaining balance of the credit note will unfortunately be lost.

To help you manage your credit notes, you can filter and search from the All Transactions page. This allows you to easily find and view all issued credit notes, as well as those that have been partially used or fully used. With this functionality, you can keep track of your credit notes and effectively utilize them to ensure accurate financial records.

Another advantage of credit notes is that they do not expire. This means that you don't have to worry about any time constraints when it comes to using your credit notes. They will remain valid and available for you to apply towards any unpaid invoices whenever you need to.

In summary, credit notes are a convenient way to handle refunds and apply them towards outstanding invoices. They can be easily managed and tracked through Engagifii, ensuring that you have full visibility and control over your financial transactions. And with the added benefit of credit notes not expiring, you can confidently utilize them whenever necessary without any time limitations.