Customer Credits/Deposits

Customer credit is money that you owe to the customer, and which can be used against future payments.

Customer credits in DEAR Inventory can arise in the following ways:

  • Credit notes issued as store credit rather than cash payment

  • Prepayments

  • Overpayments

  • Laybys & Store Credit from POS



  • Set up Accounts (necessary)

    • Set up a Customer Credit account - must be a liability account able to accept payments (necessary)

  • Set up Customers (recommended)


  1. Add Customer Credit 
  2. View Customer Credit
  3. Use Customer Credit

Add Customer Credit

[back to top]

Through a Sales Quote

[back to top]

Customer credit can be allocated to a customer through a sales quote, for example if a deposit has been given for an item or service.

To add customer credit through a sale quote:

  1. Create a new sale by navigating to Sale -> New -> Sale 

    • Add to an existing sales quote by navigating to Sale -> Orders  and choosing a sale with ESTIMATING or ESTIMATED status

  2. Make sure the Skip Quote box is NOT checked

  3. Fill in the quote details as required

  4. Authorise the quote

  5. Click +Customer Credit to add credit details

Through a Credit Note/Refund

[back to top]

If the customer has been overcharged, wrongly charged, or needs to be refunded, the Credit Note function can be used to add Customer Credit.


To add customer credit through a credit note:

  1. Navigate to Sale -> Orders and choose a sale to apply the credit note to. It must be a sale with an authorised invoice. 

  2. Go to the Credit Note tab and fill it out as shown in Processing a Sale. 

  3. Authorise the credit note

  4. Scroll to the Payment section. Click +Return to Customer Credit to add the credit note value to their account. You will me prompted to add a reference and amount. When you make a sale to this customer in the future they will be able to use their store credit as a payment method.

Through Receive Money

[back to top]

Creating customer credits through the receive money feature is useful when a prepayment is made by a customer which does not relate to any particular sale, but still needs to be accounted for. 


To add customer credit through receive money:

  1. Navigate to Financials -> Receive Money

  1. Select the bank account you are receiving this deposit into, Customer and Date. 

    • In the product drop down you might want to consider setting up a generic service item called Deposits to receive these payments. 

  2. Enter Amount deposited and change the account to Customer Credits.

  3. Click Complete.

View Customer Credit

[back to top]

To view customer credit:

  1. Navigate to Sale -> Customer Credits

  1. The list of customer credits for each customer will be displayed. The transaction the credit is associated with can be accessed by clicking the link in green.

Use Customer Credit

[back to top]

Accumulated Customer Credit can be used to offset payments owed. It can be applied to the sale at the Invoice stage.


To use customer credit on an invoice:

  1. Choose an authorised invoice from Sale -> Orders 

  2. Click +Use Customer Credit

  1. Select relevant credit from the Existing Credit list

  2. Click Add & Save