How to record a vendor refund in QuickBooks

I know I have another post similar to this one in the title only.  This is for when you have a vendor credit and then the vendor refunds the money.  How is this entered in QuickBooks?

Above is the vendor credit we have on our account.                                                             

Next go to banking, record deposit and enter the vendor refund check.  Use the vendor name in the transaction and accounts payable in the "from account" box.

Then go to vendor, pay bills and click on the "bill" that was created by the vendor deposit.

Apply the vendor credit memo to the "bill" created by the transaction above. This will result in a zero transaction (the deposit will clear the vendor credit).                    

This process will clear your vendor credit and record the deposit for you.                         

Courtesy of our colleague Lynda Artesani, Certified QuickBooks ProAdvisor in SW Florida