Follow these steps if you need to reverse a BACS payment — for example, because the wrong payment or BACS export format was used. First, unallocate the payments from the original invoices:
Click the Creditors tab.
Click Allocation, then select Correction from the drop-down.
In the Account section, click the magnifying glass to find the supplier, or type the Supplier code directly.
Click the Display icon. Use filters to narrow down the transactions shown.
Find the incorrectly posted transactions and their invoices.
Double-click each transaction until the amount appears in the Allocate column.
Click the green tick. An Update Allocations screen appears.
Confirm the date and period, then click the green tick again.
📌 Note: You can only unallocate transactions in the current open period or a future period.
Now post a reversal of the payment by entering an opposite transaction — for example, a payment with a negative value. If you have the Corrections module, it can create the reversal automatically. 📌 Note: Because the payment was originally allocated, you may not be able to delete it using Corrections. Then allocate the original payment and the correction together:
Click the Creditors tab.
Click Allocation, then select Allocations.
Find the supplier using the magnifying glass or by typing the Supplier code.
Click the Display icon. Use filters to narrow down the transactions shown.
Find the incorrectly posted transactions and their corrections.
Double-click each transaction until the amount appears in the Allocate column.
Click the green tick. An Update Allocations screen appears.
Confirm the date and period, then click the green tick again.
Once the corrections are in place, repeat the remittance process to post a new payment. Take care to select the correct BACS format. If the original issue was the wrong bank account being used, and the transactions have not yet been exported, you can use the Corrections module to change the bank account on the payments. Then run the BACS Export again and select the correct bank account.