Dwolla Outage History

The FED has experienced system issues this morning causing a delay in Same Day ACH processing. Same-Day ACH debit and credit transactions that were expected to clear at 12:00 PM CT will be delayed. We are monitoring the situation and working with our partners, and will update this status when we have more information about when those transfers will be processed. We apologize for any inconvenience caused by this disruption.

We have identified an issue impacting sandbox transfer searches via the dashboard and api. The team is working on a fix and will provide updates as they become available. This impacts the sandbox environment only.

A fix has been identified and is being deployed.

Dwolla has issued some 1099k forms to end users with the amounts higher than expected. If your business has customers who are receiving a 1099k from Dwolla, they may have received a form 1099k with the wrong amount. The Dwolla team is aware of the issue and is taking steps to correct it. We will provide more information on the steps taken as it becomes available. Note that Dwolla's payment platform and API are not impacted by this issue.

We have sent an email to all affected end users explaining what happened and informing them that corrected Form 1099-K will be issued, sent to them, and filed with the appropriate tax authorities. We are working through the process to send the corrected 1099-K forms to end users, and we will get those sent and filed by the February 2, 2026 deadline. Note that Dwolla's payment platform and API are not impacted by this issue.

We have resolved the issue that caused incorrect amounts. We intend to file the updated 1099K forms with the appropriate tax authorities on Monday morning to avoid any operational impact over the weekend. We will provide an update when this is complete.

Most of the incorrect 1099K forms that were sent to end users were stopped before they were filed with tax agencies. These 1099K forms have been updated and filed. A small number of 1099K forms were filed with tax agencies and require corrections. The team is working through the corrections process. We will provide an update when this is complete.

We have identified an issue causing a subset of webhooks to remain in a "Queued" or "Pending" state rather than being delivered to API consumer endpoints. Our engineering team has traced the issue to performance degradation within our processing infrastructure that began at approximately 1:30 AM UTC on Saturday, January 3rd. We have taken steps to isolate the affected components and have restored normal processing for new events. Impact: Webhooks generated between Saturday, Jan 3rd and Monday, Jan 5th may experience significant delays or may not have been sent yet. Current webhook traffic is processing normally.

We are currently experiencing an issue with our API traffic related to the ongoing Cloudflare outage, being tracked at cloudflarestatus.com. A significant portion of requests to Dwolla's API are being returned by Cloudflare as errors. We are monitoring this situation closely and will provide updates as soon as possible.