What is Credit Voucher?
A voucher is the first document used to record a purchase, sale, receipt, or payment. A credit voucher is the most important document in the business since it outlines and approves the company’s payment. Business companies can decide to employ vouchers as manual or electronic methods.
Types Of Vouchers
- Debit Voucher – A payment voucher is another name for a debit voucher. This voucher is used when a company pays someone else for things like salary and wage payments, raw material payments, loan repayments, and so on. These payments can be made in cash or via bank transfer. As a result, both Cash and Bank Payment Vouchers will be handled as debit vouchers.
- Credit Voucher – When a payment is made, a credit voucher is a document that records accounting activities and contains a monetary value, including cash payments. It’s essentially a voucher that documents cash or check payment. ‘Receipt Voucher’ is another name for a credit voucher.
- Transfer Voucher – All transactions are documented as Transfer vouchers, with the exception of Cash and Bank receipts and payments. The Journal Voucher is another name for this type of voucher. This voucher is often created for credit sales, credit purchases, property transfers, or any other transactions that do not require cash or a bank transaction.