Summary:
We are excited to officially announce that Credits are now available in Distru!
This new feature allows you to issue, track, and manage customer credits, helping streamline your workflows and keep your records clean and accurate.
How credits work
Credits can now be created and applied to customers inside Distru, whether or not you use the Quick Books integration.
If you do not have QB integration, you can still fully use this feature within Distru.
For customers with QuickBooks integration
If you are integrated with QuickBooks, credits can now sync between Distru and QuickBooks once the proper settings are enabled.
Because this can impact accounting workflows, we strongly recommend reaching out to your Customer Success Manager to:
Review how credits work with your existing setup
Enable and confirm the two way sync
Walk through best practices for your team
We are here to help
We’re excited to answer any questions and provide training as this highly anticipated feature finally rolls out. Your Customer Success Manager is the best place to start if you want hands on help getting set up, and our chat support team is always available for quick questions along the way.
Thank you for your continued partnership. We are thrilled to bring this feature to you.
Feature Guide: Managing Customer Credits
The Credits module provides a centralized system for managing customer returns, overpayments, and manual adjustments. This feature ensures your accounts receivable ledger remains accurate by treating credits as distinct financial entities that can be tracked, applied to invoices, and synchronized bi-directionally with QuickBooks Online (QBO).
1. Prerequisites: User Permissions
To interact with the Credits module, Users must be assigned the appropriate permissions in Settings > Roles.
Permission | Scope |
View Credits | Read-only access to credit balances on the Company Profile and the global Credits table. |
Create Credits | Ability to manually issue a credit or process a Return that generates a credit. |
Edit Credits | Ability to modify credit notes/amounts or Cancel an active credit. |
Delete Credits | Ability to soft-delete a credit record (only allowed if the credit is unused). |
2. Automated Credit Generation
Distru automatically generates Credit entities in three specific scenarios to ensure ledger accuracy without manual intervention.
A. Customer Returns
When a Return is marked as Completed, the system automatically issues a credit for the total value of the returned items.
Traceability: Unlike generic adjustments, these credits retain the lineage of the specific inventory returned. You can view the associated Products, Packages, and Batches in the Line Items tab of the credit record.
B. Payment Overages (Unapplied Amounts)
Previously, paying more than the total due resulted in an invoice status of "Overpaid."
New Behavior: If a payment exceeds the invoice total (e.g., a $120 payment on a $100 invoice), Distru marks the invoice as Fully Paid and immediately converts the excess ($20) into a new Credit.
C. Retroactive Invoice Adjustments
If a user edits a Fully Paid invoice to reduce its total (e.g., removing a line item or charge), the system calculates the difference between the Total Paid and the new Invoice Total. A credit is automatically issued for this difference.
3. Applying Credits to Invoices
Credits can be applied via the Receive Payment dialog.
Mixed Payment Methods: You may fund an invoice using a combination of Credits and standard payment methods (Cash, Check, Transfer) in a single transaction.
FIFO Allocation: When applying credits, the system utilizes a First-In, First-Out logic, consuming the oldest available credits first.
Payment History: The Payments section of the invoice detail view displays the allocation breakdown. If a credit usage is later voided, the entry will remain visible but struck-through to preserve the audit trail.
Technical Constraint: To prevent circular dependencies in the ledger, you cannot apply a credit to the specific invoice that generated it (e.g., an overpayment credit generated by Invoice A cannot be used to pay Invoice A).
4. Editing and Canceling Credits
Credits can be managed directly from the Credits table.
Editing: You may update the amount or notes of a manual credit. However, the system validates that the new amount is not lower than the amount already used by other invoices.
Canceling: You may invalidate a credit. The system will prompt you to choose between:
Cancel Balance Only: Removes the remaining unused balance.
Cancel & Revert: Removes the balance and voids any previous applications of this credit to invoices (potentially reverting those invoices to "Unpaid").
5. QuickBooks Online (QBO) Synchronization
The Credits module features a two-way sync to ensure parity between Distru and QBO.
Sync Logic
Distru -> QBO: Credits created in Distru (via Return or Manual Entry) sync to QBO as Credit Memos.
QBO -> Distru: Credit Memos created in QBO sync back to Distru as Credits.
Unapplied Payments: If a Payment is recorded in QBO with an Unapplied Amount, Distru imports this as a Credit.
Critical Editing Restrictions
To maintain sync integrity, Overpayment Credits cannot be edited directly within Distru.
Reason: In QBO, an overpayment is not a standalone entity; it is a property of a Payment record. To adjust an overpayment credit, you must edit the original Payment entity itself.