QuickBooks Generated Zero Amount Transaction | Quick Fixes

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You might sometimes notice QuickBooks creating a zero-dollar transaction in the check register with a Memo stating, ‘QuickBooks generated zero amount transaction for bill payment stub.’ This message can appear in both QuickBooks Desktop and Online when you use a credit to pay a bill. This happens automatically and creates issues while matching credit to paper checks, creating clutter in the check register and account discrepancies.

If you are also dealing with zero-amount transactions in QuickBooks, follow this guide for instant troubleshooting solutions.

If you are getting zero-amount transactions in QB, follow the solutions in this article to get rid of it. However, if you need an avenue for faster resolution, contact our support team at 1855-546-5024.

Leading Reasons Why Your QuickBooks Generated Zero Amount Transactions for Bill Payment Stub

Before troubleshooting the zero-amount transaction issue, you need to understand why it occurs. The reasons below are responsible for the zero amount on your credit memo in QuickBooks –

• The credit memo might not be linked or applied to their respective invoices.
• The payment might not be applied to the corresponding invoices, or it might not be linked properly.
• The journal entry might not be applied or linked to the corresponding invoices in QuickBooks.
• You might have created the bill and the credit or refund from separate bank/credit card accounts.

Now that we know why this issue occurs let’s discuss some important points to consider in the next section.

Prerequisites Before Troubleshooting QuickBooks Zero Amount Transaction Issue

You need to ensure that the following points are considered before troubleshooting transactions with zero amount in QuickBooks –

• Firstly, press the Ctrl + H keys to review if a transaction is attached to the zero-amount entry.
• If you can’t find an attached transaction, make sure to create a backup for the QuickBooks Desktop company files before proceeding. 
• The zero-amount transaction issue can be resolved if the unapplied transaction is reapplied. To make the payment, go to the Customer menu and choose the Customer Name. Then, apply the unapplied credit balance to the particular invoice and ensure the details are saved.

Now, let’s go to the next section and learn about the troubleshooting solutions to fix this issue.

How Do You Remove the Zero Amount Transaction in QuickBooks Desktop?

Go through the following solutions and learn how to resolve the zero-amount transaction issue in QB Desktop easily-

Solution 1 – Link the Check to the Bill

While paying a bill, the payment should be made via the Pay Bill option. If you write a check for the bill payment, there’s a possibility that it will remain unpaid. Thus, you need to link the check to the bill and then pay by using the steps below to fix the QuickBooks zero amount transaction in the check register issue –

Step 1 – Link the Check

Implement the following steps to link the check to the bill –

• Open the written check, then go to the Expense tab and change the account associated with the check to Accounts Payable.

• Now, go to the Customer: Job column and choose the name of the vendor/agency where you paid the Bill.
• Lastly, click Save and Close to save the check.

Once the check is linked, create and pay the bill in the next step.

Step 2 – Pay the Bill by Applying the Written Check

To pay the bill by applying the written check, go through the following steps-

• Go to the Vendors menu, choose Pay Bills, and click on the Bill/s corresponding to the Check.

• Click Set Credits, then go to the Credits tab, and put a check on the credit.
• Adjust the amount as required, then select Done and click on Pay Selected Bills.

Once done, check if the zero-amount transaction is removed. If QuickBooks is still generating zero-amount transactions, move to the next solution.

Solution 2 – Post the Refund in the Same Bank/Credit Card Account

Make sure to use the same bank/credit card account you initially used to pay the bills when creating a refund. You can post the credit on the same account if you use a credit card for bill payment. You need to look for the vendor credits created and then link them to the bill in the following manner-

Step 1 – Record the Refund Details on the Credit Card

You need to write a suitable memo and provide the amount in the credit card account by using the following steps –

• Tap on the Banking menu, select Enter Credit Card Charges, and open the Credit Card drop-down.
• Choose the credit card account, click the Refund/Credit radio button, and select the correct Vendor name.

• Provide the details like Date, Ref No., and Amount, then write a suitable memo elaborating on the transaction.
• If you have returned items, tap on the Item tab, then select the Items and Amounts from the refund.
• However, if the refund does not have Items, go to the Expenses tab and pick the right Accounts.
• Provide the Amount, then click Save & Close to save the changes.

Pay the bill in the next step once the details are recorded on the credit card.

Step 2 – Pay the Bill

You can pay the bill by applying the written check by following ‘Step 2: Pay the Bill’ of ‘Solution 1: Link the Check to the Bill’ above.

After paying the bill, check if the “QuickBooks generated zero amount transaction” issue is resolved.

Solution 3 – Fix Unapplied Vendor Credits and Payments

If you used vendor credits to pay the outstanding bill, you need to fix the unapplied vendor credits and payments in the following manner-

• Go to the Accountant menu, select Client Data Review, and click Fix Unapplied Vendor Payments and Credits.

• Now, navigate to the Vendors tab, check the Payments/Credits column, and choose the check.
• Find the bills in the Bills column, then click Apply and Save to confirm the changes.

After fixing the unapplied vendor payments, check if the zero-amount transactions are removed. If QuickBooks creates a payment with zero amount, move to the next solution.

Solution 4 – Correct the Aging Report

If you are still getting zero-amount transactions in QB, you must correct the A/R report. To fix the aging report in QuickBooks Desktop Enterprise, Pro, and Premier versions, follow the steps given below-

• Open QuickBooks, tap on the Customer menu, then go to the Receive Payments section.

• Search for the customer in question, see the invoice and unapplied credit balance, and click Discounts and Credits.
• Now, check the due credit balance and verify that there are no unapplied credit balances.
• Click Done, then find the applied credit balance in the Customer Payment section.
• Verify that the total number of your customers appears as zero, then select Save and Close.

Once the process is complete, you will be able to remove the zero-amount transactions successfully.

Conclusion

You can follow this detailed guide to fix the “QuickBooks generated zero amount transaction” issue. However, if these solutions don’t help and the issue persists, contact our support team at 1855-546-5024 for immediate troubleshooting assistance.

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