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Reverse Past Credit Balance Adjustment


Reverse Past Credit Balance Adjustment


You can reverse a previously made credit balance adjustment, by creating another credit balance adjustment to counter the effect of the previous adjustment, even in a closed accounting period.

This feature is in Limited Availability. We are actively soliciting feedback from a small set of early adopters before releasing as generally available.

Reverse Past Credit Balance Adjustments

You can reverse a past credit balance adjustment even if the the accounting period is closed. 

For example, you have an invoice with open balance of $100. By accident, you apply $30.00 from the credit balance, making the new balance $70.00. You realize your mistake and reverse the amount, by transferring $10 to the credit balance, making the new invoice balance $80.00.

Consider the following prior to reversing a credit balance adjustment:

  • Invoices with a positive balance:
    • The amount transferred cannot exceed the amount applied from the credit balance. 
    • Can only be transferred after it’s been applied from the credit balance.
  • Invoices with a negative balance:
    • Can be only be transferred after it’s been transferred to the credit balance.
    • The amount applied cannot exceed the amount transferred to the credit balance.
  • A credit balance cannot be applied if the balance is zero, regardless If the  invoice is positive or negative.
  • A credit balance adjustment transaction cannot be canceled.

For example, you have an invoice with an open balance of $100.00, $40 of which is applied from the credit balance, bringing the balance to $60. 10USD to Credit Balance, the balance of invoice is 100 + (-40) + 10 = 70USD. Now, if user wants to cancel the first CBA, which is 40USD, it will make invoice balance is 100 + (-40) + 10 + 40 = 110USD. Meaning invoice balance is greater than invoice amount. So this operation is not allowed.

Reversing a Past Credit Balance

Perform the following steps to reverse a past credit balance:

  1. Navigate to CustomersCustomer Accounts in the left-hand navigation section.
  2. Select an account.
  3. Select Transfer to Credit Balance from the more drop-down.


Enter the information in the appropriate fields.


  1. Click transfer to credit balance.

Viewing Credit Balance Activity

You can see the credit balance activity by clicking on the Credit Balance tab under Transactions.