A customer has made payment for an invoice via a check. The bank will clear the check within a specific period of time. How do I record this payment?

You can record payment for the invoice since customer has made the payment. To track the cheque amount until it gets cleared, you can use the Undeposited Fund account. Here’s how:

  • Go to Sales on the left sidebar and click Invoices.
  • Select the invoice for which you want to record payment.
  • Click Record Payment and enter the required details.
  • Select Undeposited Funds in the Deposit To field.
  • Click Record Payment.

When the cheque gets cleared, you can record the payment in the Banking module. Here’s how:

  • Go to Banking on the left sidebar and select the Bank Account in which you want to record this transaction.
  • Click Add transaction and select Transfer from Another Account.
  • Select Undeposited Fund in the From Account field.
  • Enter the amount and provide a description.
  • Click Save.

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