We may need a little more info on what you have and how its wired, but in general, both ENDS of the RS485 bus need to be terminated, If you have 1 xsp hooked to the M1 then both the panel and the XSP need a terminator. If you have 2 devices (like XSP and expander) homerun to the M1 then each device needs a terminator and no terminator on the panel (each device on the end of 2 homeruns would be considered the ends of the bus with controller in the middle). More than 2 homerun bus connections and you should use a hub. If you had just 1 xsp connected to the panel and it worked then both the panel and xsp are probably terminated. So, if you added a second line (expander) to the controller (2 wires now in RS485 connection)you probably need to add terminator to expander if not there and remove terminator from the panel. Make sense? The other option would be to wire the new expander to the xsp and xsp to panel (existing line). In that case you would terminate the expander and the panel (panel is one end and the furthest device is the second end - no terminator on middle devices). If you are handy and have a multimeter, you can measure resistance between Data A and B on the panels RS485 connector with the power off. It should be around 67 ohms +- 10 or so.