Billing - Credit Note

A Credit Note in the Billing Module is a document issued to reduce the amount owed by a student or their guardian. It’s commonly used for adjustments, refunds, or corrections in billing.

Here are a few scenarios where a Credit Note might be used:

1. Fee Adjustments: If a student is overcharged or eligible for a fee reduction (e.g., scholarship or discount), a Credit Note can be issued to decrease the outstanding balance.

2. Billing Corrections: If there was an error in the initial bill (such as charging for the wrong course), a Credit Note can be used to correct the amount.

Using Credit Notes helps keep billing accurate and transparent, ensuring that the financial records for each student are clear and up-to-date. This feature makes it easier for schools to manage financial transactions and provide clarity to students and families.

Prerequisites Before Creating a Credit Note

1. Setup Payment Code

   • Go to the Billing Module and select Config.

   • Under Payment Setting, select Payment Method.

   • Click on Add Payment Method.

   • Fill in the details, such as the payment name, description, and other required fields, to complete the setup of a new payment method.

2. Setup Credit Note Settings

   • Go to Config within the Billing Module.

   • Select Credit Note Setting.

   • Enter a prefix for the Credit Note document numbers, which helps differentiate and categorize credit notes within your system.

Creating a Credit Note

1. Access the Credit Note Creation Screen

   • Navigate to the Billing Module and select the Credit Note button.

2. Search for the Student

   • In the Create CR Note section, use the search bar to locate the student for whom you wish to create a credit note.

   • After finding the student, click on Add Credit Note.

3. Fill Out the Credit Note Form

   • Complete the Credit Note Form by filling in the required fields, such as the amount, reason for issuing the credit, and any other relevant information.

   • Once all details are entered, click Create Note to submit.

4. Draft and Approval Process

   • Go to the Draft & Verify section, where you’ll see a list of all credit notes created that are pending approval.

   • Check the box next to the credit note(s) you want to approve and submit for final approval.

5. Approved Credit Notes

   • In the Approved Credit Note section, you’ll find all credit notes that have been approved and are ready for utilization.

   • Here, you can also view the status of each credit note to see if it has been utilized or remains available.

Utilizing the Credit Note

1. Apply Credit Note to Student’s Invoice

   • Locate the student’s invoice by using the search function.

   • Once found, click Payment on the relevant invoice.

2. Select Payment Type

   • Choose Credit Note as the payment type and fill in the rest of the payment details as required.

3. Submit Payment

   • After entering the details, click Create Note to apply the credit note to the student’s invoice.

   • The Current Outstanding amount will automatically update in the invoice list to reflect the credit applied.

4. Process Remaining Payments (Optional)

   • If the parent wishes to pay the remaining balance via Schoolscan’s Payment Gateway, the system will automatically deduct the credit note amount from the outstanding balance, making the payment process seamless.

5. Track Credit Note Status

   • In the Credit Note List, the status of the credit note will be updated to “Utilized” once it has been applied to an invoice. This allows for easy tracking of credit note usage across the system.