To apply a return to an unpaid invoice

1. First, complete the procedure outlined in Creating customer returns.
2. If you’re not already on the Process customer returns page, go to the Sales menu and choose Process customer returns. If you don't see this option, you're using an upgraded version of MYOB Essentials and your help is here.
3. The Process customer returns page appears, displaying a list of all customer returns awaiting crediting or refunding.
4. Select the return to be applied to an unpaid invoice.
5. Click Apply to an invoice.
6. The Apply to an invoice page appears, displaying details of the return, as well as a list of any unpaid invoices for the customer. The value of the return to be applied appears in the Total credit to apply field.
7. Copy the value in the Total credit to apply field into the Payment amount field for the unpaid invoice you want to apply it to.
8. Click Save to apply the return amount to the unpaid invoice.

9. Repeat from step 1 for any other returns to be applied to unpaid invoices.

   Invoices with returns applied to them still need to be sent to customers for acknowledgement. For more information about sending invoices, see Emailing, previewing and printing invoices.

To pay a refund 

1. First, complete the procedure outlined in To create a customer return.
2. If you’re not already on the Process customer returns page, go to the Sales menu and choose Process customer returns. If you don't see this option, you're using an upgraded version of MYOB Essentials and your help is here.
   The Process customer returns page appears, displaying a list of all customer returns awaiting crediting or refunding.
3. Select the return to be refunded from the list.
4. Click Refund to customer.
   The Refund to customer page appears, displaying details of the return.
5. Check that the Date, Reference number and Refund amount fields are correct.

6. Select the From account from which you want the refund debited.

   You can only allocate a refund to a cash or cheque account. For more information about accounts, see Accounts List.

7. Add to the Notes field if required.
8. Click Save to debit the refund amount from the selected account.
9. Repeat from step 1 for any other returns to be refunded.
10. Prepare and send the cash or cheque refund to the customer.

Why am I getting the message "The Payee field must not be blank" when applying a refund?

This message means the customer being refunded doesn't have an email address set in their contact record.

To check this:

1. From the Contacts menu, choose View Contacts.
2. Click the customer's name.
3. Enter an email address in the Email (To) field.
   
4. Click Save.

You'll now be able to apply the refund to this customer.