How to to record the payment of an outstanding invoice by credit card?

On occasion you enter an invoice for a vendor and after the invoice is posted to the general ledger, the invoice is paid using a credit card. After paying an invoice by credit card, record in the system that the invoice has been paid so that a check will not be created for it. To record that the invoice has been paid by credit card, you must enter an invoice for the credit card vendor and transfer the invoice from the original purchase vendor to the credit card vendor. Payment history is recorded for both the purchase vendor and the credit card vendor.

1 On the Accounts Payable Main menu, click Invoice Data Entry.

2 In Invoice Data Entry, enter your credit card vendor at the Vendor No. field and enter an invoice number at the Invoice No. field.

3 On the Header tab, enter the invoice information.

4 On the Lines tab, click the Transfer button.

5 In the Update Purchase Vendor window:

a. At the Vendor Number field, select the purchase vendor.

b. At the Invoice Number field, select the purchase vendor's outstanding invoice.

NOTE The G/L Account field is not available because the outstanding invoice, itself, is being transferred (not the purchase).

c. At the Transfer Amount field, the transfer amount defaults from the purchase vendor's invoice balance but can be changed (partial pay).

NOTE The transfer amount cannot exceed the purchase vendor's invoice balance.

d. If necessary, enter the discount amount at the Discount Amount field.

e. Maintain the 1099 Form and Box fields as necessary, and click OK.

6 In the Invoice Data Entry window, click Accept.