Step-by-Step Guide to Getting Started with Automatic Credit Card Billing
Make recurring charges easier for you and your customers with Automatic Credit Card Billing. Charge a customer's credit card a fixed amount at regular intervals for recurring services such as membership fees, insurance premiums, or subscriptions.
Note: Before setting up recurring charges, you must have written permission from your customer. Automatic Credit Card Billing is available in QuickBooks 2008, and higher, and QuickBooks Enterprise Solutions 8.0.
Step 1: Set Up a Recurring Charge
- From the Customers menu, choose Credit card processing activities, and then choose Automatic Credit Card Billing to access the Recurring Charges page.
- Print the Automatic Credit Card Billing Authorization Form.
- Click Set Up Recurring Charge on the Recurring Charges page and complete all fields.
- Click Next to review and save the information. Billing begins on the start date you specify and may be stopped at any time.
Step 2: Process Recurring Charges
- Remember to obtain written permission from your customer before making any changes to the recurring charge, including the amount billed or the credit card information.
- Designate a billing period for the amount you wish to charge your customer. Your customer's credit card will automatically be charged each billing period for the amount you specify.
- After the payment is processed, the funds are transferred to the account specified for the QuickBooks Merchant Service.
- You will be sent an email confirmation for all transactions.
Step 3. Receive Payments
- From the Customers menu, choose Credit card processing activities, and then choose Automatic Credit Card Billing. This opens the Recurring Charges window.
From the Recurring Charges options, choose Record Payments.
- If there are outstanding invoices for customers, payments will automatically be applied to the invoices* and appear under "Payments applied to invoices."
- If there is not an outstanding invoice for a payment, create an invoice and apply the payment against that invoice. Click 1. Create Invoice, then click 2. Receive Payment. You will see that the payments now appear under "Payments applied to invoices."
Note: For ease of use, Intuit recommends creating memorized invoices for recurring charges. To do this, create an invoice, then from the Edit menu, choose Memorize Invoice.
*Auto-apply invoices feature must be enabled in QuickBooks.
Need more information? Browse our Frequently Asked Questions for more information on using the QuickBooks Merchant Service.