Credit memo auto-settlement automatically applies a new credit memo to a customer's open invoice balances when the credit is created. This reduces the manual work of applying credits one by one — but it can apply credits to the wrong invoice if a customer has multiple open balances.
How Auto-Settlement Works
When a credit memo is created for a customer who has open invoice balances, Sharper can automatically settle (apply) the credit against those invoices. The credit memo is marked as Settled once applied. Whether auto-settlement fires depends on the Auto Settle flag on the individual credit memo and on your role permissions.
Triggering Auto-Settlement Manually
Navigate to CRM → Customers and open the customer account.
Go to the Credit Memos section and open the credit memo (status: Unsettled).
If the Auto Settle option is available, select it.
Confirm. Sharper applies the credit to open invoices automatically.
The Auto Settle button only appears when the credit memo has an unsettled balance and your role includes the credit memo auto-settle permission. If you do not see the option, contact your administrator.
Applying a Credit to a Specific Invoice Instead
To control which invoice receives the credit rather than letting Sharper choose automatically:
Open the invoice you want the credit applied to.
In the payment section, select Apply Credit Memo.
Choose the credit memo and confirm.
If auto-settlement already applied the credit to the wrong invoice, see How-To Unapply a Credit Memo from an Invoice to reverse it first.