Hi Trish, so the first entry would be a CN+ (create credit note) and you would offset it to what you had originally made the over payment to. for example if i made an over payment on my Fertilizer bill I would do a EX (Expense) but with a negative sign in front of the dollar amount. The second transaction to apply this credit would go as follows: Withdrawal from the bank account for the amount you are a taking out of the bank to pay for the expense then your first line would be a EX (expense) for the full amount of the payment and the last line would be a CN- (to apply the credit you had created) for the amount you used as the credit this help help the transaction to balance. I hope this information was helpful.
