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Panic erupts as major bank faces widespread service disruption

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Panic erupts as major bank faces widespread service disruption

1759456383606.png Panic erupts as major bank faces widespread service disruption
Digital banking blackout sparks chaos at checkouts. Image source: Asian Banking & Finance

Nothing tests your patience quite like standing at a checkout with a trolley full of groceries, only to discover your banking app has gone on an unscheduled break.


Thousands of Commonwealth Bank customers faced exactly that scenario yesterday during a sudden outage.


Reports of disrupted services left many Australians scrambling for alternatives.





The disruption unfolds


The disruption began just before midday on 2 October, with DownDetector tracking a peak of 7,114 complaints shortly after noon.


What started as isolated app troubles soon escalated into a nationwide digital banking blackout.


Customers found Commonwealth Bank's mobile app offline, while ATMs across the country entered 'standby mode', unable to dispense cash or accept deposits.




'App down again, can't pay for petrol.'

Facebook user, ABC News







The human impact


For a generation reliant on digital banking, the outage highlighted the vulnerability of modern financial life.


Some customers faced particular challenges overseas, unable to access money in urgent situations.


Others discovered mismatched balances in joint accounts during the disruption, adding to the frustration.


Commonwealth Bank acknowledged the problem at 12:45 pm AEST, stating: 'CommBank banking services, including payments, online access and ATMs are being restored.'


The issue was not declared fully fixed until 2:30 pm AEST, stretching beyond the bank's initial estimates.


A spokesperson said: 'some of our services were unavailable for approximately an hour before they started being restored,' although customers experienced closer to two and a half hours of disruption.




Scale and context


The outage underscored the scale of Commonwealth Bank's operations, which serve over 17 million Australians.


Despite operational hiccups, the bank recorded a record net profit exceeding $10 billion in the 2024/25 financial year.


Shares in Commonwealth Bank actually rose 1.65 per cent on the day, suggesting investors viewed the outage as a temporary blip rather than a serious operational concern.


Digital banking outages are becoming increasingly common, highlighting the need for backup plans.


Fortunately, no branches were closed during the disruption, allowing some access to basic services in person.


However, with branch networks shrinking, over-the-counter banking may not always be available when digital systems fail.




Protecting yourself during banking outages



  • Keep some cash on hand for emergencies—even small amounts help with essential purchases

  • Know your nearest branch location and opening hours

  • Have contact details for multiple banks if you use more than one

  • Screenshot important account balances regularly for reference

  • Set up accounts with different banks for essential services

  • Keep your bank's customer service number saved in your phone

  • Consider keeping a small emergency fund in a different financial institution





Looking ahead


Industry experts suggested regulators may push for stricter service continuity standards, making digital reliability a key aspect of banking compliance.


Customers who experience direct financial harm from outages may be able to pursue compensation under consumer protection laws, although proving such harm can be difficult.


Yesterday's Commonwealth Bank outage served as a reminder that even the most convenient digital financial systems are not infallible.


While mobile banking has transformed how Australians manage money, traditional backup plans—keeping cash handy and knowing branch locations—remain essential.



What This Means For You


Over 7,000 customers experienced digital banking issues during the Commonwealth Bank outage, affecting mobile apps, online banking, and ATMs across the country.


The disruption lasted roughly two and a half hours, much longer than the official estimate of one hour. This incident highlights the importance of keeping some cash on hand and having alternative banking plans in a digital-first world. For everyday Australians, especially those who rely on banking services for essential payments, this serves as a reminder to prepare for unexpected outages and ensure access to funds even when digital systems fail.




If the recent Commonwealth Bank outage left you frustrated, you’re not alone—similar disruptions have happened before.


Understanding past incidents can help you prepare and avoid being caught off guard the next time digital banking systems fail.


Here’s a detailed look at another major banking lockout that caused widespread inconvenience and confusion.


Read more: Thousands of customers locked out of their banking accounts: 'How are they down so often?'





Have you ever been caught out by a banking outage—what strategies do you use when technology fails?

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So much for technology, all ways best with cash.
 
Cash is king. I didn’t have a problem.
 
A little test or pre warning that if we don't have cash these days they can control us however they want! Not to be trusted!
 
Isn't this the same as not being able to call triple zero when Optus went down. CASH IS TOTALLY NECESSARY, CBA have been renovating/updating their ATM machines lately.
 
Again, and as an ex bank employee I've said this many times you cannot get rid of cash entirely, just as you cannot rely on digital technology to be completely failure free. There will always be outages etc. usually at the most inconvenient times. Yesterday is a perfect example and it's not the first time people have been caught out not being able to pay for purchases, bills etc and it definitely won't be the last.
 
So that means we couldn't use our Debit / Credit cards to pay for anything either ??
 
From 11.57 am to 2.32 pm on 2 October 2025, major Australian retail outlets experienced a 54% spike in incidences of shoplifting allegedly due to a Commonwealth Bank outage....

🤣 🤣 🤣 🤣 🤣
 
Have cash, no problem. When are people going to learn that the ease with technology is not the way to go? My thing is in this unstable world we live in, is if a country wants to disrupt the world, it only has to shoot down a few satellites, and off goes banking, communication, many countries safety protections. It is real scary.. I fear for my children and grand children for what the world will become.
 
When are they going to learn, cash will always be necessary!!!!!! It's not friggin' rocket science, ffs!!!!
 
The world is becoming too dependent on everything electronic. If the internet went down (or was utterly destroyed), the poorer countries in the world would only notice the lack of aide coming to them. The rest of us would be at a standstill.
Cash - well, you need to get it out of a bank at times. But cash can't be hacked, siphoned off via the internet. And if you allocate yourself $n cash for the weekly groceries, you can't overpsend on impulse buys!
 
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From 11.57 am to 2.32 pm on 2 October 2025, major Australian retail outlets experienced a 54% spike in incidences of shoplifting allegedly due to a Commonwealth Bank outage....

🤣 🤣 🤣 🤣 🤣
Or the supermarkets weren't able to process electronic transactions, so the unscrupulous helped themselves.
 
Yes, I agree cash is king, (I never owned a C/C until I came to Australia) but surely you guys that say, "I only use cash.", must surely do some debit, or credit banking, as well.

Even when I was able to run around to the Post Office etc., to pay bills occasionally, I still had debit orders on my C/C.
Now, obviously, I have EVERYTHING on it and most bills are paid monthly.
Cheque Accounts are basically obsolete, so how do you pay bills with cash only?

Sadly, I still believe the world will become a cashless society sooner than we think!
 
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I have always advocated for cash because I can only spend what I have in my purse. I have tended to use a credit card as if I can virtually buy what I like rather than be limited to what I have. Of course I use credit for digital banking and if I have to buy tickets etc that you can only purchase on line. Cash works for me and thank goodness I have enough because I know many people who do live on credit and using their cards are disillusioning themselves that they have more than they have
 
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tough. some things in life happen so suck it up.
 
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I have always advocated for cash because I can only spend what I have in my purse. I have tended to use a credit card as if I can virtually buy what I like rather than be limited to what I have. Of course I use credit for digital banking and if I have to buy tickets etc that you can only purchase on line. Cash works for me and thank goodness I have enough because I know many people who do live on credit and using their cards are disillusioning themselves that they have more than they have
Makes sense, depending on the person. Sure, I've seen myself how so many people simply can't help themselves and end up in financial strife.

The secret is to have and keep a LOW balance. I've been with the same bank for 28 years and never paid one cent on interest!
Yes, there are bank fees and convenience (or necessity) but still way below the cost of using your car or getting fined for late payments.

Almost one-third of Australians have a credit card debt.
As I see it, if you owe the money, you DON'T own the item!
 
Yes, I agree cash is king, (I never owned a C/C until I came to Australia) but surely you guys that say, "I only use cash.", must surely do some debit, or credit banking, as well.

Even when I was able to run around to the Post Office etc., to pay bills occasionally, I still had debit orders on my C/C.
Now, obviously, I have EVERYTHING on it and most bills are paid monthly.
Cheque Accounts are basically obsolete, so how do you pay bills with cash only?

Sadly, I still believe the world will become a cashless society sooner than we think!
we need to get on and be prepared by both avenues. i have cash and i have cards. easy. take care.
 
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Yes, I think the world is heading toward a cashless society, so we can all expect to have nil access to our money when the systems go down!! This is going to lead to complete chaos, do the banks realy care I don`t think so!! People power is going to be the only way that cash is still a legal tender. So people start the complaints and remove your money from banks or financial institutions that are listening to the needs of their customers.
 
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