Interesting ... you cannot apply a 2017 refund to the 2020 return so they returned it to you. You can certainly cash that one.
Now the 2020 return ... did you add the 2017 refund to the payments section ? If you did that was incorrect. Review your return carefully ... what did you do ? Is the refund they sent (with interest) what you should have gotten ? If not did you get the IRS notice of explanation yet ?
