The name Falcarragh (Stone Wall / Boundary) has been used since 1850, ascribed so by O' Donavan as he believed 'Na Crois Bhealai', the Cross Roads, was too common in Ireland to allow distinction. Na Crois Bhealai is still used by native speakers when referring to the town. On some maps it shows up as 'Crossroads' deriving from its Irish language name Na Croisbhealaí but older maps refer to it as Robinson's Town, but it is now listed as An Fal Carrach. An Fal Carrach, the main commercial town between Letterkenny and Dungloe was known in former times both as Crossroads and as Robinson's Town. An Fál Carrach, the official name, originally referred to a little hamlet south-east of the present town, at the foot of Falcarragh hill - but gradually houses were built at the crossroads, mainly for the workers and tradespeople employed on the Olphert Estate in Ballyconnell.

The first recorded reference to Falcarragh appears in a report written by William Wilson, Raphoe in 1822. Wilson was the Protestant Bishop's stewart responsible for the collection of tithes to support the Protestant clergy. He, apparently, received a hostile reception on arrival in Cloughaneely (parish) according to his account to the bishop:

According to my intention I went to Cloughineely and on Monday about 12 o’clock arrived at a place called Falcarrow in your Lordship’s See (about five miles distant from Dunfanaghy) where I then, pursuant to advertisement, proposed holding the Court as I twice before had, but was immediately on my arrival surrounded by upwards of 150 to 300 men who had assembled merely for the purpose of preventing me from holding any Court and threatened my life if I would. Their measures I was obliged to comply with.

Slater’s Directory of 1870 provides us with valuable information about Falcarragh and its surrounding area:

Crossroads or Falcarragh, is a village, in the parish of Tullaghbegley, and partly of Raymunterdoney, barony of Kilmacrennan, situated on the summit of a small hill near to the coast; opposite here is the Island of Torrey, nine miles distant. The places of worship are the parish church and a Presbyterian meetinghouse. A dispensary and a school are the charitable institutions. Fairs are held on the last Thursday monthly. Population in 1861 was 231.

Slater's Directory of 1881 records that the population increased to 258 inhabitants in 1871 and also tells that there was a Protestant Episcopal Church in the town. We are given some information about the local post office situated at the crossroads. Thomas Browne was Postmaster at the time and "letters from all parts arrive at ten minutes past eleven morning, and are dispatched at one afternoon."