If they send a result code that is NOT RECOGNIZED by the kernel, the kernel will change it to "Z3" (5A33). The kernel is not recognizing their result code 3035.
You need to configure tag DFEE1B in the Terminal settings to define your three response codes, Approved/Referral/Decline.
DFEE1B is defined as 8 bytes long.
Bytes 0/1 is for Approved Code
Bytes 2/3 is for Referral Code
Bytes 4/5 is for Declined Code
Bytes 6/7 are Reserved for Future Use (RFU).
Example: If the host uses 3030 as APPROVED, 3031 as REFERRAL, and 3035 as DECLINED, you would make sure the following TLV is included in your terminal settings:
DFEE1B 08 3030 3031 3035 0000
Once DFEE1B is properly defined with the DECLINE = 3035, then the kernel will recognize and properly process their transaction.
See also: