thread Re: Interac Refunds failing in Orders, Menu Items, Catalog & Fulfilment

Interac Refunds failing

DragonCards — Sun, 21 Sep 2025 10:10:23 GMT

I have never been able to successfully process an Interac refund. The most common result is an error after the Interac card is tapped or inserted, and that's assuming that the refund button is not greyed out. Is there some secret trick that I am missing?

Re: Interac Refunds failing

JJ_ — Thu, 19 Dec 2024 16:57:20 GMT

Hello there @DragonCards. Just wanted to make sure you had the steps at hand for refunding interac payments.

You can process amount-based refunds using the
Square Reader for contactless and chip cards or Square Terminal connected to Square Point of Sale.

To refund an Interac payment through the Square Point of Sale app (iOS and Android):

From your Square Point of Sale app, go to Transactions.
Tap the charge you want to refund.
Select Issue Refund.
Enter the amount to be refunded and tap Next.
Reviews the refund details, and select a reason for the refund.
Tap Refund. Once the ‘Refund Complete’ message appears, tap Done.

Importan Note: To refund an Interac payment successfully, you’ll need both the original purchase card to be present and have the full refund amount available in your Square balance. If you do not have sufficient funds in your balance to cover the refund, you’ll need to refund your customer outside of Square.

Re: Interac Refunds failing

DragonCards — Thu, 19 Dec 2024 17:11:39 GMT

Hi @JJ_ , thanks very much for the reference. I am definitely following those steps. The error occurs regardless and, again, that's assuming that the app allows me to select a refund in the first place.

Cheers!

Re: Interac Refunds failing

DragonCards — Sun, 16 Nov 2025 08:39:06 GMT

I believe I have found a workaround. We use 2 iPhones as our POS devices. One is paired with a Square Terminal. When attempting an Interac refund with that iPhone, it fails. When we attempt a refund with the one NOT paired to the Square Terminal, we achieve success about 90% of the time. (Occassionally we still get failed refund attempts even on that device, no rhyme or reason for that.)

Re: Interac Refunds failing

SANDRAR — Tue, 18 Nov 2025 19:18:50 GMT

We have had the same problem -- we cannot refund to the original debit card, even when the card is present. I'm wondering if it might be because the original purchase and the refund are happening to close together and since the original transaction hasn't actually been processed by square/the bank it won't allow the refund? I appreciate any thoughts on that possibility.