How to record a temporary customer debt?

shau

A customer debt arises sometimes when I agree to let them pay later and deliver the goods first.

 

Where is the option to record a customer debt against a Pay Bill which can be later converted to a payment of a bill?  Or would you just not record the payment until the customer actually makes it?

Tracey_H

Hi @shau 

 

Thanks for your post.  Personally I wouldn't record a customer payment until I have the money as there's no way to track what is owing and if you report your BAS on a Cash basis you could be reporting amounts in the wrong quarters. 

 

By allowing your customers to pay after delivery of goods you are giving them a trading account. You would need to create a customer card with the Terms set to the time you have given them to pay, say 14 days. Then create a sale for their goods and when you get paid record that payment through Receive Payments. This way you can keep track of outstanding amounts.

 

Adding a customer 

Entering sales 

Receiving payments 

 

Please let me know if you need further help.

 

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