Undeposited Funds, Uncleared Checks & Bank Feed Messes in QuickBooks (How to Fix Them Fast)
Stuck Undeposited Funds, uncleared checks, or messy bank feeds in QuickBooks? Use this CPA-designed process to clear suspense, reconcile deposits, and fix feed errors-fast.
Nothing derails QuickBooks like a growing Undeposited Funds balance, decades-old uncleared checks, or a bank feed that duplicates transactions. These errors inflate revenue, break reconciliations, and make tax time painful. This guide shows the CPA-designed steps to clear Undeposited Funds to zero, resolve stale/duplicate entries, and fix feed mismatches so your statements tie out. You’ll match payments to real bank deposits, remove duplicates safely, and post any true adjustments with a clean audit trail. Prefer to hand it off? Get a QuickBooks cleanup quote and our QBO-certified team will fix the history, deliver CPA-reviewed reports, and move you into a predictable monthly close.
Why Undeposited Funds Goes Wrong (and Why It Matters)
Payments recorded, but deposits posted separately → double-counted revenue- Bank feed deposits matched to the wrong payments → unapplied payments remain
- Historical imports without using “Bank Deposit” → stuck UF balance
- Result: P&L inflated, AR aging wrong, bank rec out of balance, CPA rework at year-end
Correct Workflow to Clear Undeposited Funds
- Inventory UF: Reports → Sales → Deposits Detail (or UF register). Export list.
- Group by real bank deposit: Use statement date/amount; identify which payments belong together.
- Create/Review Bank Deposits (New → Bank Deposit):
- Check the exact customer payments included in each real-world deposit.
- Add merchant fees in “Add funds to this deposit” as a negative line to match bank net
- Match in Reconciliation: Each Deposit = one bank statement line.
- Zero test: UF register should end at 0 for the period.
- Audit trail: Attach bank proof or screenshots for deposits with adjustments.
How to Fix Duplicates (Deposits or Payments)
| Scenario | What to Do (Preserve Audit Trail) |
|---|---|
| Deposit exists in bank feed and you manually added it | Match, don’t add a new one. If duplicate already posted, void the newer duplicate or reverse properly; re-match payments to the correct deposit. |
| Payment recorded, but bank feed created a separate “sales receipt” | Delete/void the duplicate sales receipt (not the original payment), then match original payment via Bank Deposit. |
| Wrong payment applied to a deposit | Uncheck in the deposit form; re-create the correct deposit composition; re-match in reconcile. |
| Old “Make Deposits” used with no payments selected | Rebuild with the right payments and dates; void the orphan deposit; reconcile. |
Uncleared Checks & Stale Items
- Identify: Reconciliation report → Uncleared/Outstanding checks.
- Research: Verify with vendor/bank; confirm stop-payment or re-issue status.
- Resolve:
- Duplicate? Void the later duplicate; keep the original with proof.
- Truly stale? Void and re-issue with current date; document memo.
- Never cashed and reversed by bank? Record bank adjustment with attachments.
- AP/AR Symmetry: Ensure vendor credits or customer credit memos aren’t causing negatives.
Bank Feed Messes: Broken Links, Missing History, Wrong Accounts
| Problem | Fix |
|---|---|
| Feed duplicates after re-connect | Identify overlap window; exclude dupes; reconcile against statements, not feed. |
| Missing months of transactions | Import CSV from bank; reconcile month-by-month; keep proof files. |
| Mapped to wrong account | Move transactions using reclass (not delete); fix feed mapping; re-reconcile. |
| Multichannel payouts (Shopify/Stripe/PayPal) don’t tie | Map gross → fees → reserves → net deposit; create rules; tie payouts to statements. |
Mini Case Example
A retailer showed +$38k in Undeposited Funds and recon breaks. We rebuilt deposits by statement, netted Stripe fees inside deposits, voided duplicate feed entries, and cleared stale checks. Result: UF = 0, AR aging matched GL, and the bank rec balanced. CPA posted accruals and locked the period before year-end filing.
Ready for Us to Clear It for You?
We’ll zero Undeposited Funds, fix feed duplicates, balance reconciliations, and deliver CPA-reviewed financials.
Frequently Asked Questions
Prefer void/reverse on the duplicate and rebuild the correct deposit; preserve the audit trail and re-match in reconcile.
Add fees as a negative line on the Bank Deposit to match bank net while keeping gross revenue correct.
Export UF detail, group by bank statements, and rebuild deposit by deposit. If history is complex, request a cleanup quote-we complete the rebuild and deliver CPA-reviewed reports.
Research first; then void/reissue or record bank reversal with proof. Keep memos and attachments for your CPA.
It can if revenue was double-counted. Your CPA review will document any period impacts and recommend a period lock after correction.
Yes. We provide workpapers and tie-outs so your CPA can file without rework.
View all answers in our full QuickBooks Cleanup FAQ →
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