Indian Overseas Bank's new net banking failed for a week; it went back to the old system

State-owned Indian Overseas Bank (IOB) moved its internet banking to a new platform backed by EdgeVerve, a subsidiary of Infosys, on 24 July 2025. ETBFSI reported on 31 July that the new platform had suffered multiple failures and service disruptions for nearly a week.

In customer alerts, the bank blamed 'technical failure' by its vendor, EdgeVerve, and delays by the vendor in resolving it. One SMS read: 'Due to technical failure by Edgeverve (Infosys), we are forced to go back to the old Internet Banking system.' Customers reported on X that net banking, IOB Connect and payments on platforms such as Amazon were failing with errors such as 'Invalid Request'.

Some users demanded accountability, with one saying the IT head should be sacked and another saying they would complain to the RBI. ETBFSI recalled that HDFC Bank had faced RBI restrictions in December 2020 over its digital outages, which were lifted in March 2022, and said the IOB episode raised questions about regulatory action.

Nearly a week of internet-banking, IOB Connect and payment disruption; rollback to the old system. No financial figure was reported.

The bank moved all its internet banking to a new vendor platform in one go.

The new platform failed repeatedly, which IOB attributed to a technical failure by EdgeVerve.

The vendor was slow to fix the problems, and the bank ended up switching back to the old system.

ETBFSI's article gives only the bank's account; EdgeVerve's side is not reported.

Keep the old system warm until the new one has carried real load. A migration without a tested rollback turns a vendor fault into a public customer outage.

IOB confirmed through multiple customer alerts that it had reverted to its older platform. ETBFSI raised the question of regulatory action but reported none, citing only users' speculation that the RBI might step in.