What Are Credit Notes?
Credit notes are issued by suppliers to adjust invoices when there are order changes or corrections.
They are commonly used for:
Overpayments
Missing or short-supplied items
Pricing adjustments
Other agreed invoice corrections
Once issued, credit notes are stored in Ordermentum and are automatically applied to future invoices when eligibility rules are met.
Why Would I Receive a Credit Note?
You may receive a credit note if:
You were charged for items you didn’t receive
An order was overpaid
A pricing error was identified after invoicing
A supplier agreed to adjust an invoice amount
You’ll be notified when a supplier issues a credit note. To receive email notifications, make sure your Order Confirmation / Invoice notifications are enabled in your notification settings.
How Credit Notes Are Applied to Payments
Automatic Application
You don’t need to apply credit notes manually. When you make a payment through Ordermentum:
The system automatically checks for available credit notes from the same supplier
Eligible credit notes are applied to your invoice
Your payment amount is adjusted accordingly
Example:
If your invoice total is $150 and the credit note is $140 →
The credit note applies successfully and $10 is charged.
Understanding Credit Note Statuses
The Default Payment Method at the time the credit note is created determines how it’s applied and what status you’ll see.
Credit Note Status Comparison
Status | What it Means | What You Need to Do |
Issued | The credit note has been created and is waiting to be applied to a payment through Ordermentum. | Nothing — it will apply automatically to a qualifying invoice. |
Applied | The credit note has already been used and its value has been deducted from a payment. | Nothing — the credit has been fully used. |
N/A | Payments are made directly to the supplier and no payment details are set up in Ordermentum. The credit won’t apply automatically. | Confirm with the supplier how the credit will be applied in their accounting system. |
What Happens If a Credit Note Doesn’t Apply?
If the credit note amount is equal to or greater than the invoice total:
The credit note will not apply
The credit remains active on your account
It will be used on a future qualifying invoice
Example
If your invoice total is $140 and the credit note is $140 →
The credit note does not apply and remains available for future use.
Important
To apply successfully, the invoice total must be greater than the credit note amount.
At least $1.00 must remain to be charged, otherwise the credit won’t apply.
Viewing Your Credit Notes
You can view your credit notes anytime in Ordermentum.
Where to Find Them
Log in to Ordermentum
Go to History, then the Credit Notes tab
View credit notes linked to your supplier invoices
You’ll be able to see:
Credit note number
Status (Issued, Applied, or N/A)
Credit amount
Frequently Asked Questions
Do I need to apply credit notes myself?
No. Credit notes are applied automatically when eligible.
Can a credit note be split across multiple invoices?
No. Credit notes must be applied in full to a single invoice.
What if my orders are usually small?
If your invoices don’t exceed the credit amount, the credit may not apply automatically. In this case, you can request a refund from the supplier.
Who processes refunds?
Refunds are processed by the supplier. Ordermentum can help coordinate if needed.
Need More Help?
If you have questions about a credit note or need assistance:
Use the Help chat in the bottom-right corner of Ordermentum
Email support@ordermentum.com
Support hours: Monday–Friday, 9am–5pm AEST