How to Process Credit Card Payments in QuickBooks Online?

In QuickBooks Online, the main thing that you have to do is set up the account of QuickBooks credit card payments. When you are able to accept credit cards then the payment is done more easier by the customers. Many customers are using credit cards to pay their bills. To process the credit card payments in QuickBooks Online, you have to do the setup, manage, create, and send the invoices to your customers using emails. Where they get the direct link to pay using the few modes of payment.

By processing credit card payments, helps you in saving the time of entering the transaction after receiving payments. As this is done by QuickBooks Online automatically; you can also call it the benefit or a kind of magic done to your books.

Let’s check out how it works!!

Setting up QuickBooks Credit Card Payments

For setting up the credit card payments in QuickBooks Online, you have to create a new credit card payment account. For creating a new account in QuickBooks Online, you have to follow the steps to get it done:

• Open QuickBooks Online.
• Click on the Gear icon that is located on the top right side of the QuickBooks window.
• From display options, click on Account and Settings.
• In the Account and Settings window, click on the option Payments tab from the left side.
• It shows you the details for rates (in case the customer has selected for the bank transfers then the QuickBooks Credit card payment is Zero).
• After that, you have to enter the information about the business you are running.
• Mention the owner or principal of your business.
• Now, enter your business bank information.
• Then click on the green button named Submit.

After this, you get notified immediately if you are approved. If approved, then QuickBooks credit card payments are available that can be used within 24 hours. If it is not approved, then you can connect and inquire about its reasons for not approving it.

Managing Your QuickBooks Credit Card Payments Account

The management is done when your account is approved. In this, firstly verify the connection then make few changes to how the transaction can be handled. For this, there are few steps that are as follows:

The management is done when your account is approved. In this, firstly verify the connection then make few changes to how the transaction can be handled. For this, there are few steps that are as follows:

• Click on the Gear icon from the top right side of the QuickBooks window.
• Click on the Account and Settings option.
• Further, go to the Payments tab option.
• In the Recording Accounts section.
  • Select the bank account in the QuickBooks Chart of Accounts.
  • The account is that you have for deposits post and also the expense account for merchant fees.
• To check the history of the transactions or the changes in QuickBooks credit card payments settings
  • Click on the button Manage Account is shown on your screen.
  • This opens up a new page on your screen.
  • From this page you can do the following things:
    • Check or review the transaction history.
    • Access help and resources.
    • Manage mobile-only users.
    • Change the bank account.
    • Set alert preferences.

For Creating Transactions

When you are all set then you have to create the transactions using the QuickBooks credit card payments. As it is approved and managed to create the transaction and get paid using it.

You have to set the preferences that help the customers viewing the invoices using the Online portal of the invoice for this follow the steps mentioned below:

• In QuickBooks Online.
• Click on the Gear icon.
• Then further, select Account and Settings.
• Click on the tab named Sales.
• Go to the Online delivery section.
• Verify that the checkbox Attach invoice as PDF is not checked.
• As you are not required to upload any invoice PDF.
• After that, you are all set to send the invoice.
• For creating the invoice in the easiest way is-
  • Click on Quick Create that is on the top right side (the + sign).
  • Select invoices.
  • When the invoice form opens up fill out all the details in it.
  • Choose the type of payment mode you want to use.
  • Then click on Save and send button.
  • Now in another screen, you can make changes to the subject line and the email body.
  • You can also add another payment mode if you want to.
  • When you are done, click on Send and Close button.
• Now, Your customer pays you online.

For Customer Online Invoice Portal

When you are done with creating an invoice and sending it via email then your customer receives an email. In that email, there is the button View Invoice. Then customer have to clicks on the View Invoice button and check their invoice. They can check it as many times as they want until they delete the email.

After clicking on the View Invoice button, they are redirected to the Online Invoice Portal. Now the benefit that you get using the QuickBooks credit card payments is showing here. That is the customer can pay here, print the invoice, and can also save it as a PDF.

For payment, when customers click on the Pay now button, they get the options for payment methods. Now, they have to choose a payment method through which they can pay the amount. After that, the customer requires to enter the required information for the payment. The customer can save this payment information for the next time in case they receive an invoice from their QuickBooks Online User.

After providing the payment details and billing address; click on the Send Payment button. Then customers get a confirmation for the payment on their screen and in the portal the status changes to the Paid.

An email is received for the payment confirmation with the link of the Online invoice portal, and you are done with the payment.

For QuickBooks Online that is Marked as Paid

Now QuickBooks Online does the rest of the things on their own just for you. This is the benefit that you get to know above for using QuickBooks credit card payments. When your customer pays the invoice then you also receive an email says that they pay you successfully. When you open the invoice in the QuickBooks online, you see that the status has been changed to Paid. it also shows you the link to the payment done in QuickBooks Online.

If you click on the paid payment link, then it shows you the screen of the received payment. This screen shows you the date of payment, the amount you received, and the transaction that is processed using the QuickBooks credit card payments. QuickBooks Online posts the deposits for you when you receive the deposit into your bank account.

How to Process a Credit Card Payment in QuickBooks Online?

To accept a credit or debit card payment in QuickBooks Online. To process credit cards in QuickBooks Online you need a QuickBooks Payments account. In case you don’t use QuickBooks Payments, then you should record a credit card payment that you processed outside of QuickBooks.

Before continuing make sure you:

• Sign up for a QuickBooks Payments account.
• Choose where to record your payments and fees.

There are two methods to use your payments account to process card payments. Whether you use QuickBooks to create invoices will affect how you proceed.

Option 1: Receive a Payment toward an Invoice

In case you invoice your customers, you will want to receive a payment. You can then apply the payment you make to an open invoice in this manner.

• Choose + New.
• Choose either Receive payment or Receive payment on an invoice.
• The customer’s information and the payment due date.
• Choose a live invoice in the Outstanding Transactions area to apply for the payment. Enter a different value in the Amount Received field to accept a partial payment.
• Select a Credit card from the drop-down option for the payment method.
• Choose Enter credit card details.
• Then select Swipe Card or enter the credit card information.
• Optional: Select Use this credit card in the future to save the customer’s credit card.
• Then choose the process credit and click on save
• Lastly, choose Save and new or Save and close.

Option 2: Create a Sales Receipt

You can process a credit card using a sales receipt if you don’t use invoices.

• You have to start by selecting + New.
• Fill up the customer information after selecting Sales receipt or Make a sale.
• Add a product or service to offer for sale.
• Choose a Credit card from the drop-down option for the payment method.
• Now you have to enter your credit card details.
• Choose Swipe Card or enter the credit card information.
• Optional: Select Use this credit card in the future to save the customer’s credit card.
• Now click on process credit card and click on Save.
• Lastly, you have to select save and close or click on Save and New.

Choose Where to Record Payments and Processing Fees for QuickBooks Payments

Know about where to record payments and processing fees for QuickBooks Payments. With the help of this article, you will know about all the easy steps. To make sure that your processing fees and payments will be recorded in the correct accounts follow the further points that are mentioned below:

• Navigate to Settings and choose Account and Settings.
• From the menu, choose Payments.
• Pick the pencil (edit) icon in the Chart of Accounts section.
• Make sure you select the correct bank account when asked Where do you wish to record payments?
• Select the proper expense account for tracking processing fees under Where do you want to record processing fees?
• After completing click on Save.

Storing Payment information in QuickBooks Online

You have to store the customer’s payment information like bank or credit card details. For this information, you must have your customer’s completed payment authorization form to store their payment information. With this, you can create invoices and then send that invoice to customers. The last four digits are hidden after you enter the payment details. As the QuickBooks Online and QuickBooks credit card payments are PCI compliant.

There is a benefit of using QuickBooks credit card payments. The benefit is for recurring sales when you are using an accounting tool; then you can change the sales receipt to the recurring transaction. The QuickBooks Online automatically creates the sales receipt on any interval that you have set in it.

In case, you are not processing recurring sales, or you won’t do it then also you can save the card details. By doing this when your customer is going to agree with you for receiving the payment with the payment method on file then you can implement it.

When the customer is ready then click on the Quick Create and then select the receive payment option. After that, mention the required information correctly. Now you are done.

In Conclusion, the process is explained clearly to process credit card payments in QuickBooks Online. If you are having any issues while setting, managing, or storing the QuickBooks credit card payments. Then connect with the QuickBooks helpdesk team, they are available 365 days a year to assist you. So, whenever you are facing issues just get in touch with the team and get your issues resolved.

---

Frequently Asked Questions (Faqs)