Situation – A customer debt was written off as bad debt but has now paid and brought their account back into good standing.
- Remove “No Service from Company name in Xero and Workflowmax by editing the contact and client in each system
Find the credit note entry under the Xero contact. Assuming we have done no business with the customer since the bad debt was filed, the credit note should be the most recent transaction on the list. Drill into the credit note by clicking on the blue credit note link.
Edit the credit note and change the gl account to 964 – Recovery of Bad Debt and save. Let the owner and office manager know about this entry as they will confirm that the accountant is aware of the recovery of the bad debt.