Has your bank reported to you that a cheque has bounced? Which bank account was it? In order to take care of that in the book we need to set it up first.

We need to add an item to the list of products and services and connect that to the bank account that was affected by the bounced cheque. We can call it something like Customer’s Returned NSF Cheque. It will be a Service item.

In the top right click the Cog Wheel and go to the column called Lists. Click Products and Services. We can see all of our products and services listed. Click New. At the bottom right side of the screen we need to choose an account. Choose the bank account that was affected by the NSF cheque. Of course you will also need to give it a name.