thread Re: How to process Interac refunds with a Square Terminal paired to Square POS in Hardware Setup & Troubleshooting

How to process Interac refunds with a Square Terminal paired to Square POS

TBV1 — Sun, 21 Sep 2025 12:56:00 GMT

Hi,

We recently upgraded from a Square Contactless Reader to a Square Terminal paired with our Square POS. Since then, we've been unable to process Interac refunds. Is there any way to process Interac refunds on a Square Terminal that is paired with Square POS?

Thanks!

Re: How to process Interac refunds with a Square Terminal paired to Square POS

frances_a — Sat, 18 Dec 2021 18:10:43 GMT

Hello @TBV1!

You should be able to process Interac refunds from your POS app as long as the card used for the payment is present and you have enough funds in your Square balance to cover the refund.

You can learn more here.

Let me know if that works!

Re: How to process Interac refunds with a Square Terminal paired to Square POS

TBV1 — Mon, 20 Dec 2021 12:30:54 GMT

Hi @frances_a,

The POS returns the error "No reader connected" when we try to process the refund even though we have a Square Terminal connected.

Re: How to process Interac refunds with a Square Terminal paired to Square POS

frances_a — Tue, 21 Dec 2021 18:34:50 GMT

@TBV1

Hmmm sounds like a network issue, maybe.

Does the terminal work for other transactions?

I would run the troubleshooting steps found here, let me know if that works!

If it doesn't, would you be able to send a screenshot of the error you are receiving? Thank you.

Re: How to process Interac refunds with a Square Terminal paired to Square POS

TBV1 — Tue, 21 Dec 2021 18:56:07 GMT

Yes. The terminal works for all of our transactions except Interac refunds.

Re: How to process Interac refunds with a Square Terminal paired to Square POS

frances_a — Tue, 21 Dec 2021 23:57:32 GMT

@TBV1

When is the terminal returning the error "No reader connected"??

Thank you for answering these questions so we can better assist!

Re: How to process Interac refunds with a Square Terminal paired to Square POS

TBV1 — Wed, 22 Dec 2021 13:24:05 GMT

That error appears on the iPad screen when we try to refund a transaction that was paid for using an Interac card. It appears as soon as you hit the Refund button.

Re: How to process Interac refunds with a Square Terminal paired to Square POS

frances_a — Thu, 23 Dec 2021 01:26:28 GMT

@TBV1

Strange. Is the card already inserted when getting this error?

Re: How to process Interac refunds with a Square Terminal paired to Square POS

TBV1 — Thu, 23 Dec 2021 16:25:38 GMT

Nope

Re: How to process Interac refunds with a Square Terminal paired to Square POS

frances_a — Thu, 23 Dec 2021 18:46:24 GMT

I would suggest inserting the card, then trying to process the refund, since the card needs to be present at the time of refund.

If that doesn't work, please reach out to our support team here so they can assist further.

Thank you @TBV1!