A Payable credit will show as a payable with a negative amount due. This procedure will apply that credit to an open payable bill.
Open the Vendor window
Click on Pay Bills 1
Apply a negative amount to the credit and a postive amount to an open bill. Enter any check number; it will not be used.
Ckick OK. Payables will be processed.
This process can also be done using Pay Bills 2, if the credit and the bill are for exactly the same amount.
Select both bills.
Actions > Pay Bills.
This will apply the credit without inserting a check.