1. Create a new Invoice

2. Select the OTHER line item type and input the description of the credit memo

3. Input the credit as a negative $ amount in the Price field

4. Add notes to the Memo Section

5. Save.
6. To send a document that states 'Credit Memo' instead of Invoice: 1.) Edit/View the invoice that was just created and saved. 2.) Click the drop down arrow to the right of Email or Print + select CREDIT MEMO

NOTE: If Settings > Invoices > Automatically apply credit balance = YES. The system will not auto apply a credit memo.