Credit Memos: How to Create a Credit Memo

Create a Credit Memo from a specific order, or from scratch for any customer. The credit becomes its own record your customer can use on a future order or invoice. Creating a memo doesn't apply the credit anywhere yet.

Create a credit from an order

1. Open the order.
2. Click Create Credit Memo (at the bottom of the order, after Sync Order to Accounting).
3. Review what copied over: your customer, each product line at the price you charged after discounts, shipping as a credit line, and any manual fees.
4. Remove lines, change quantities or edit prices so the memo covers only what you're crediting. To change a product, remove its line and add a new one.
5. Choose a Reason, and add Reason details if they help.
6. Set the Issue date if it should be something other than today.
7. Click Create Credit Memo.

Create a credit from scratch

1. Open the customer's page and click Create Credit Memo (next to Edit). You can also go to Sales > Credit Memos and click + New Credit Memo.
2. Under Line Items, add any of your products with Add a Line Item. The price fills in from the customer's current pricing, and you can change it.
3. To credit an amount instead of a product, click Add Credit, choose a credit item (like your shipping credit) and type the amount. Add a description if it helps.
4. Choose a Reason, set the Issue date, and click Create Credit Memo.

Edit a Credit Memo

You can edit a credit memo but only before it has been applied to an invoice. After, you can no longer edit it.

1. Open the memo and click [Edit].
2. Change lines, prices, the reason, notes or the issue date, then click Update Credit Memo.

Find a customer's credits

Each customer's page has a Credit Memos tab next to Orders, and a Credit Memos panel showing available credit. For all memos, go to Sales > Credit Memos. You can filter by who created the memo, and canceled memos have their own tab.

Customer page with Credit Memos tab and panel: