PAX Terminal FAQ

🏦 How Does Payment Processing Work?

Payment processing happens in these main stages: Authorization, Authentication, Batching and Settlement.

🔐 1. Verification (Authorization & Authentication) - In-store

This stage happens in real time when a customer makes a purchase—usually in just a few seconds.

• The customer taps, inserts, or swipes their card at your POS terminal.

• The transaction data is sent to your payment processor.

• The processor contacts the card network (e.g., Visa, Interac) to authorize the payment.

• The card network then contacts the issuing bank to:

  • Confirm the card’s validity.

  • Check available funds or credit.

  • Approve or decline the transaction.

✅ Once approved, the sale is complete in-store—but the funds have not yet been deposited into your account.

💰 2. Settlement (Batching & Payment Processing)

After verification, the transaction enters the settlement stage, where the money actually moves.

• PAX terminals create daily batches of verified transactions.

• These batches are sent to your payment processor for settlement.

• The processor forwards transactions, on the processor's account schedule, to the appropriate card networks.

• The card networks request the funds from the issuing banks. (There may be delays depending on card network, like AMEX)

• Funds are then transferred to your business bank account, and your customer is charged.

⏳ This typically takes 2 or more business days, depending on the processor’s schedule (often once daily, e.g., around 6 PM).

⚡ Real-Time Settlement with MagTek/Magensa

• MagTek/Magensa transactions are sent to the processor immediately—not batched per device like PAX.

• All MagTek transactions are grouped into a single batch and settled based on the processor’s account schedule.

🔄 What’s the Difference Between Payment Verification and Payment Processing?

Until settlement completes, the funds are essentially in limbo—approved but not yet yours.

Main factors that impact settlement to payout time:

• Type of the hardware used for payment & configuration

• The processor's configuration of Merchant Account

• The Card Network and/or issuing bank.

• Offline/SAF transactions or disputed charges 

Common Reasons for International Credit Card Declines

If a customer’s credit card is declined while traveling or using it outside their home country, it may be due to one of the following:

• PIN Requirement: Many international credit cards require a PIN for transactions, but U.S. systems typically use signature or no verification (see comparison table below).

• Card Blocked for International Use: Issuers often block international transactions by default for fraud prevention.

• Magstripe-Only Fallback Not Accepted: Many EU and Asian terminals reject swipe-only cards and require chip (EMV). Many EU and Asian issuer banks block magstripe transactions abroad by default for security.

• Currency Conversion Issues: Some cards may block or charge extra fees for foreign currency transactions.

💡 What Should the Customer Do?

If their card is declined internationally, suggest the following actions:

• Try a Backup Card: Preferably one without the chip-and-PIN requirement.

• Use a Branded Gift Card: Visa or Mastercard gift cards without PIN requirements (for use in the U.S. often sold in Airport Gift shops).

• Try Mobile Wallets: Options like Apple Pay, Google Pay, or Wise typically work well with PAX or MagTek iDynamo NFC terminals and use tokens without PIN requirement on the terminal.

• Contact Their Issuer Before Travel: Ensure the card is enabled for international use, specifically USA, and confirm whether a PIN is required.

🔑 Credit Card PIN Requirements: U.S. vs. International

⚠️ Additional Notes

• Foreign customers face issues in the U.S., as most U.S. terminals are not configured to require or process PINs for credit cards, like NorthStar, PAX terminals and MagTek devices where it is not currently supported.

• Most U.S. credit cards do not have a PIN, unless they are debit or hybrid cards (with added restrictions). As a result, many U.S. customers may face issues abroad at PIN-only terminals.

Common Reasons a gift card may fail for PAX:

• From Order Entry on the Payment screen, the Credit Card option was chosen instead of Gift Card

• The Gift Card processor is not configured correctly for the site in ECM. When a Gift Card is used on the PAX device, it is decoded and sent back to NSOE, which then uses the membership service to forward the Gift Card details to the processor defined in ECM.

• Gift Card bin range mirrors or overlaps a credit card brand bin range, usually Discover.

• The PAX device date/time is off. Gift Card processors will decline if the timestamp of the transaction is off by more than a few minutes. Check and correct the time, date and time zone in those cases as described under PAX Terminal FAQ | Terminal How To'sPreview below.

• Gift Card is not coded correctly for right Track on swipe. Usually this leads to this next one:

  • Some gift cards or processors will allow for the printed Gift Card number on the card to be manually entered, even if not swiped. It should be noted that the swiped card number is usually different from the number printed on the card.

I see this error when I touch the external device icon on the payment screen.

This could be due to either of the following problems:

• Problem: One or more feature toggles is not enabled

• Solution: Verify that the following ECM features have been enabled (see CBS Credit Card Team/CBS Support)

  •  

    • EMV Payment VX-805

    • Enable PAX Support
      
      

• Problem: Site's payment credit card processor is not set to a supporting processor (TSYS, Heartland, or FDMS)

• Solution: Ensure that credit card processor is set to a supporting processor (TSYS, Heartland, or FDMS) in ECM under Sites > Payment 

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I see this error when I touch the external device icon on the payment screen.

This could be due to either of the following problems:

PROBLEM:

PAX terminal may have a different IP address than what is set in ECM

• Solution: Verify the IP address on the PAX terminal

  • Touch Menu on the PAX terminal screen.

  • Enter the terminal password. The Main Menu displays.

  • Touch the Down arrow.

  • Touch Communication.

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  • Enter the terminal password.

  • Touch the Down arrow.

  • Touch ECR Comm. Type.
    

  • Touch LAN Parameters.

  • Touch the IP Address button on the screen. Verify that the IP address matches the entry in ECM.

NOTE: Leading zeros in the PAX IP address can be ignored. See images below showing how IP addresses from the PAX terminal should be entered in ECM:

PAX TERMINAL IP ADDRESS DISPLAY	ECM HOST FIELD FOR PAX TERMINAL

PAX TERMINAL IP ADDRESS DISPLAY	ECM HOST FIELD FOR PAX TERMINAL
Open	Open Note that the IP Address in ECM differs from the PAX terminal display.

PROBLEM:

PAX terminal may not be set for HTTP communications

• Verify: On PAX terminal

  • Touch Menu on the screen.

  • Enter the terminal password. The Main Menu displays.

  • Touch the Down arrow .

  • Touch Communication .

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  • Enter the terminal password.

  • Touch the Down arrow .

  • Touch ECR Comm. Type.

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  • Touch Ethernet. You are prompted for a port. Ensure that the value is 10009.

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  • Press the green Enter button on the number pad.

  • Ensure that Communication Protocol: 2 is displayed, to indicate HTTP GET.

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• Solution:

  • Correct fix: Communicate to the processor (TSYS, Heartland) or CBS Support/Credit Card Team (FDMS) that the Communications Protocol Type is incorrect. (See BroadPOS Tab Screenshots – Communication Tab.)

  • Emergency fix: On the Communication Protocol menu, touch HTTP GET.

 NOTE: This setting is reset whenever the software is updated on the terminal. Always contact the processor to ensure the correct value is set in PAXStore.

There are a few reasons Contactless/Tap will not work. 

• Problem: Get error "23 - Tap Not Accepted" -  the check is over $100

• Solution: Insert Card. EMV Contactless has a $100 limit in by default for PAX. Even if changed, processors and card brands (Visa, Mastercard, etc) do not accept "big" ticket amounts using contactless and will likely still reject higher amounts. Contactless is less secure, and has more fraud then inserting a chip, and it shifts the responsibility for chargebacks, so the transaction limit is low. 

• Problem: PAX device is not configured for Contactless/Tap payment

• Solution: PAX configuration: Misc tab, Peripheral Features, Contactless Module needs to be set to Internal if supporting tap-to-pay; otherwise. Disabled - by default this is set to Internal (enabled)

• Problem: The merchant account is not configured for Apple Pay payment (if using phone, not credit card for Tap)

• Solution: Ensure that credit card processor (TSYS, Heartland, FDMS, etc) are setup for Apple Pay on the Merchant Account. Need to call the card processor for the account and make sure it is flagged for Apple Pay, along with all major brands like Visa, Mastercard, Discover and American Express. It is not uncommon that the Merchant account is missing a flag for a setting on either Apple Pay or AMEX (which could be linked to the Apple Pay account) causing the payment to be rejected.   

When I try to run a credit card, I get a "TA Key Error"

TA Key means TRANSARMOR KEY. This is FDMS' second layer of security (P2PE using Tokens).

If the site is not configured for Trans Armor on FDMS' side, this setting will need to be turned off in PAXStore. If used, then it must be setup with the correct 4-character code. 

This error message means that the card is declined because of a restriction on the card or account. Another form of payment should be used. 

Reference: http://virtualpaymentsystem.com/help/knowledgebase.php?article=21

A "SERV NOT ALLOWED" message usually indicates that the merchant account with the credit card processor may not be set up for a specific card type. For FDMS this could be something like EBT Card type not allowed for the account. 

A parameter that is not being sent that the PAX needs. Could be an app update on the PAX device that needs to be downgraded back to its original working configuration.

Problem: PAX terminal is giving an immediate Error Encountered: Connect Error

Troubleshooting: 

1. Cabling

   • Swap the network cable if needed or relocate to a different Ethernet connection.

2. Network

   • Make sure firewall allowances for the device are set so that configuration data can be forwarded to that device (We normally do not manage client firewalls)

3. PAX Device

   • The device itself could be malfunctioning. Test another device to see if you can ping it.

   • Check PAX device communication settings, verify if is setup Ethernet, HTTP Get and the IP, Subnet and DNS are valid. Replace PAX terminal if necessary

Problem: When swiping Gift Cards on a PAX Terminal you're receiving the TRACK INVALID error message.

Solution:

• Configuration Paramaters for the PAX Terminal need to be properly configured in PAXStore.

  • Contact CBS Credit Card Team to verify this option is flagged for the PAX terminals

  • IMPORTANT NOTE: 

    • CBS Credit Card Team configures PAX with FDMS processors directly. 

    • If the sites utilize TSYS or Heartland, please inform CBS Credit Card Team as well so they can contact those processes to make proper changes to those PAX Devices in their environment.  

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Problem: PAX terminal is giving an immediate Error Encountered: AUTHENTICATION ERR or AUH ERROR - NO TICKET

Steps for resolution:

• Contact card processor via CBS Credit Card Team

  • Items to check with card processor (FDMS - First Data only):

    1. Site is provisioned for Rapidconnect

    2. IPCOM needs to be set from NONE to DATAWIRE

    3. The Datawire ID (DID) is setup as self-registering for the PAX300.
       
       

  • After confirmation of all changes: PRIOR to downloading the new parameters configuration from PAXStore, please clear the DID within the PAX device first.

    1. Go to PAX terminal and tap Main Menu Host Settings > Host Register > Clear Register

    2. Reboot - This will download latest parameters from PAXStore

    3. Confirm the Datawire ID has been obtained on the PAX terminal:

       1. Main Menu> Host Settings > Host Register > Self Register

       2. If the Self Register button is available, please select this option. That means the DID still needs to be captured on that PAX terminal

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If site gets the error above it means either of the following:

1. The batch has already settled and the tip cannot be added. There is nothing we can do to get the tip added at this point.

2. The PAX device is not on the network. In this case we can get the PAX device on the network and they can enter the tip. 

Steps to take to resolve this:

1. Verify you can ping all PAX devices.

   1. Log into ECM → Sites → Edit Site that is having the issue → Peripherals tab → Credit Card Terminal

   2. Ping each PAX IP address to verify they are on the network

   3. If they are not then have the site reboot the PAX device that you cannot ping and continue to trouble shoot.

   4. If they are on the network continue to the next steps.

2. Verify that all PAX devices have the correct date, using the PAX Tester in c:\cbs or c:\postinstall on the Order Entry Server.

   1. If any device has the incorrect date/time it could be batching too soon causing the error.

   2. Use the temporary fix issues to correct the date/time on the PAX device.

      1. This will not enable you to add a tip but fix it so it does not happen again.

3. If all this is correct then the issue most likely is with the Batch time in PAXStore or on the processors end.

   1. Please note, Heartland does their own PAXStore settings, so the site would need to reach out to Heartland to change the batch time. 

   2. You would want to send an email to CBS Credit Card Team for (FDMS or TSYS processors) or get with your PAXStore admin to check the settings.

Error: Lookup DNSResolveExt

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To fix this, we will have to do a firmware update by following the below steps. When asking for a Download Terminal ID, please use 21021000 for D210 devices and 30030030 for S300 Devices. 

1. Power cycle the terminal

2. During the self-test, press the Func key then press cancel

3. From the menu that is displayed, choose "RemoteDownload"

4. Choose "New Download"

5. Next choose the communications method: WIFI If using a D210, TCP if S300

6. In the remote IP, enter "50.79.90.190" or 216.238.144.195

7. Enter "8001" or “8582” for the port number

8. Enter the terminal ID (D210) 21021000 (or if using S300) 30030030 (You use this Terminal ID NOT the Terminal ID of the device.)

9. (D210) Select the Wi-Fi access point and Input password 

10. (S300) Choose Yes if "Auto get local IP address (DHCP)" prompted

At this time this error has only been seen on PAX S300

Error was caused by updating the application on a PAX S300 that had old firmware on it

When this error is received the device is completely unusable; it will not receive/process payments and the normal menu cannot be accessed. 

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To fix this issue the firmware will need to be updated on the device. 

This is common at RMG (Romano's Macaroni Grill) sites. They will get this message when attempting to run a credit card on a PAX device. 

Sample of the error in pax.log:

2017-09-27 15:12:41,951 [87] INFO PAX - Response << ResponseCode: 000100, ResponseMessage: DECLINE 
2017-09-27 15:12:41,951 [87] DEBUG PAX - ResponseCode: 000100 
2017-09-27 15:12:41,951 [87] DEBUG PAX - ResponseMessage: DECLINE 
2017-09-27 15:12:41,951 [87] DEBUG PAX - HostInformation 
2017-09-27 15:12:41,951 [87] DEBUG PAX - .AuthCode: 
2017-09-27 15:12:41,951 [87] DEBUG PAX - .HostResponseCode: 404 
2017-09-27 15:12:41,951 [87] DEBUG PAX - .HostResponseMessage: INVALID RESPONSE 
2017-09-27 15:12:41,951 [87] DEBUG PAX - AmountInformation 
2017-09-27 15:12:41,951 [87] DEBUG PAX - .ApproveAmount: null 
2017-09-27 15:12:41,951 [87] DEBUG PAX - .TipAmount: 0 
2017-09-27 15:12:41,951 [87] DEBUG PAX - TraceInformation 
2017-09-27 15:12:41,951 [87] DEBUG PAX - .TransactionNumber: 1 
2017-09-27 15:12:41,951 [87] DEBUG PAX - .ReferenceNumber: 1226532 
2017-09-27 15:12:41,951 [87] DEBUG PAX - .TimeStamp: 20170927150839 
2017-09-27 15:12:41,951 [45] INFO PAX - Payment 1226532: CreditCardSale

This is due to the app version the PAX device is on (these app versions are RMG specific, these working versions only apply to RMG)

Currently these are the only versions working in the field on the two PAX models we use:

• d210: V1.02.05E

• S300: V1.02.17E or V1.02.26E

You can find the application version by looking at the PAX terminal in PAXStore

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Alternatively you can check the app version on the PAX directly. Log into the PAX and follow this path: Main Menu > System Settings > App Management > App Info

If the PAX is on an incorrect application version we will need to change the version in PAXStore and resend the parameters. Once the change has been made in PAXStore the PAX will need to be rebooted for it to download and install the new application and parameters. 

Problem: When swiping a credit card on the PAX device it returns an error message to Order Entry, "ERROR: RECEIVE ERROR"

Solution: This error is resolved two different ways. By activating the pax device or by updating the firmware on the PAX device.

Activation steps:

1. Tap Menu on the Pax (or press 1 and function at the same time)

2. Navigate to Host Settings

3. Navigate to Host Register

4. Navigate to Activation

5. Tap Activate.

Firmware update steps:

When asking for a Download Terminal ID, please use 21021000 for D210 devices and 30030030 for S300 Devices. 

1. Power cycle the terminal

2. During the self-test, press the Func key then press cancel

3. From the menu that is displayed, choose "RemoteDownload"

4. Choose "New Download"

5. Next choose the communications method: WIFI

6. In the remote IP, enter "50.79.90.190" or 216.238.144.195

7. Enter "8001" or “8582” for the port number

8. Enter the terminal ID (D210) 21021000 (or if using S300) 30030030 (You use this Terminal ID NOT the Terminal ID of the device.)

9. Select the Wi-Fi access point

10. Input password 

Error message:

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Problem: The PAX device returns an error message, usually on new device configuration, "SO OPEN ERROR UAI"

Solution: This error is resolved by updating the firmware on the PAX device.

Firmware update steps:

When asking for a Download Terminal ID, please use 21021000 for D210 devices and 30030030 for S300 Devices. 

1. Power cycle the terminal

2. During the self-test, press the Func key then press cancel

3. From the menu that is displayed, choose "RemoteDownload"

4. Choose "New Download"

5. Next choose the communications method: WIFI

6. In the remote IP, enter "50.79.90.190" or 216.238.144.195

7. Enter "8001" or “8582” for the port number