Each of your customers in Dappr Sales has a credit balance, which is a running tally of the money owed between your business and them. It's a flexible tool that can be used to handle pre-payments, credits from returns, and other specific payment scenarios.
This guide explains what a customer's credit balance is, how it works, and how to manage it in Dappr Sales.
What is a customer credit balance?
A customer's credit balance is essentially a sub-account that tracks the net amount of money owed. The balance can be either positive or negative:
Positive Credit Balance: This means your business owes money to the customer. This is like store credit. The customer has funds available that will be automatically applied to their future invoices. A positive balance is typically created when:
You issue a credit note for a paid invoice and choose to add the amount to their balance instead of issuing a direct refund.
A customer makes a pre-payment using the "Credit balance refill" option.
Negative Credit Balance: This means the customer owes money to your business. This situation is less common but can occur if, for example, you issue a direct refund for a payment without an accompanying credit note to reverse the sale.
How to view a customer's credit balance
From the main menu, navigate to Sales, then select Customers from the top menu.
Click on the customer whose balance you wish to view.
On the customer's dedicated page, scroll to the bottom to find the Credit balance: $[amount] section.
Here you will see the current total balance and a detailed list of every transaction that has affected it. For each transaction, you will see a description, the date, and a connection to the source document (like an invoice, payment, or credit note).
A Credit increases the customer's balance (increasing the amount you owe them).
A Debit decreases the customer's balance (decreasing the amount you owe them).
How Dappr uses the credit balance automatically
The primary function of a positive credit balance is to simplify future payments.
When a customer has a positive credit balance, Dappr will automatically apply that balance to the next invoice you issue to them.
For example, if a customer has a $60 credit balance and you send them a new invoice for $100, Dappr will automatically apply the $60 credit. The invoice's amount due will be reduced to $40. This will be clearly shown on the hosted payment page and on the final payment receipt. (Note: The credit is applied after the invoice is issued, so the initial invoice PDF will still show the full $100 amount).
Important: A negative credit balance is not automatically added to future invoices, as this would duplicate a charge that is already accounted for in your books.
Managing the credit balance manually
From the "Credit balance" section on a customer's page, you have two options for manual management:
Adjust: This allows you to manually add a debit or credit to the customer's balance. This should be used with caution and only for transactions that occur outside of Dappr's automated systems. For example, if a customer with a negative balance pays you via a method outside of Dappr, you would use a manual adjustment to bring their balance back to zero.
Issue refund: This button will only appear if the customer has a positive credit balance (meaning you owe them money). It allows you to send a manual refund from your Dappr Financial Account to the customer via ACH. You can only refund an amount up to the available credit balance or your available Dappr Financial Account balance, whichever is lower.
To ensure your accounting records remain accurate, it is always best to rely on Dappr's built-in workflows (invoices, credit notes, refunds) and avoid manual adjustments unless absolutely necessary.