AIB is investigating reports from some cardholders who say they are having difficulties processing transactions at ATMs and at some retail outlets this afternoon.
Up to 30% of activity going through AIB - one of Ireland's four card processors - has been affected intermittently throughout the day. This means that some customers throughout the country have been unable to use their cards.
AIB has apologised for the inconvenience to cardholders and is working to correct the problem. The card processing system is now up to 90% productivity again, and should be completely fixed shortly.
AIB has urged retailers not to turn customers away without trying their cards.
AIB is also working to implement a back-up system so if these issues occur again the impact to consumers and retailers will be minimal.
The Irish Payment Services Organisation is aiding the investigation.