A system crash on Thursday (March 7, 2025) severely impacted Chunghwa Post’s banking services across Taiwan, causing ATM failures, transaction errors, and service disruptions at postal branches. The state-owned postal service has assured customers that all affected transactions will be corrected, and an investigation is underway to determine the cause of the crash and prevent future occurrences.
Extent of the Banking Disruptions
1. ATM Malfunctions and Onsite Banking Failures
The issue began at 11:34 a.m., when a network stability failure caused ATM malfunctions at multiple locations. Customers attempting withdrawals experienced delays, rejected transactions, and even card retention issues.
Chunghwa Post also reported that onsite banking services at its branches were affected due to server room hardware malfunctions. The crash led to failed transactions and discrepancies in withdrawal records, creating confusion among account holders.
2. Backup System Failure
Chunghwa Post’s backup system was supposed to take over in case of a primary network failure. However, according to Chunghwa Post Deputy General Manager Chen Tung-liang (陳棟樑), the backup system failed to respond properly, worsening the situation.
“The issue originated in the network server, and our backup mechanism did not function as expected,” Chen said in a press briefing.
3. Scale of the Impact
The crash affected over 1,000 transactions, with 252 cross-bank withdrawals being rejected. Customers reported that their ATM withdrawals were deducted from their accounts but no cash was dispensed. Some cards were stuck inside ATMs, requiring manual retrieval.
Chunghwa Post’s Response and Compensation Plan
1. System Restored in Less Than Three Hours
The banking system was fully restored by 2:15 p.m., allowing ATM services and branch operations to return to normal.
2. Refunds and Compensation
Chunghwa Post has promised to reimburse all affected customers for failed transactions. They confirmed that:
- Customers whose withdrawals were deducted but not dispensed will receive refunds automatically.
- The company is working to resolve all cases by the end of the next business day.
3. Investigating the Cause
Chunghwa Post is conducting a thorough investigation into whether the issue originated from:
- A network server failure,
- Hardware problems in the server room,
- A deeper system vulnerability.
The company also stated that it may implement additional backup mechanisms to prevent similar incidents in the future.
Public Apology and Reassurances
Deputy General Manager Chen apologized to customers for the inconvenience caused by the outage.
“We understand the frustration of our customers, especially those who rely on our banking services for daily transactions. Chunghwa Post is committed to ensuring this does not happen again,” he said.
FAQs
What caused the Chunghwa Post system crash?
The crash was due to a network server failure, compounded by a backup system failure and hardware malfunctions in the server room.
How long did the outage last?
The banking system was down from 11:34 a.m. to 2:15 p.m., lasting approximately two hours and 41 minutes.
How many customers were affected?
Over 1,000 transactions were impacted, including 252 rejected cross-bank withdrawals.
What should affected customers do?
Customers do not need to take action—Chunghwa Post has assured that all deducted amounts will be automatically refunded.
When will refunds be processed?
All refunds are expected to be completed by the end of the next business day.
Will Chunghwa Post take steps to prevent future crashes?
Yes, the company is investigating improvements in backup systems, network stability, and server hardware.
