RESOLVED: Netlify identity built-in Invitation template stopped working

As a note: This flow has been in place for years and working great until yesterday.

Here’s the scenario (also in video form https://drive.google.com/file/d/1kWPjUv24uNXyVLPur3mCSlJT0uUkfk6J/view?usp=sharing)

  1. User signs up via identity widget
  2. Gets email successfully - The built in template
  3. Clicks “Verify”
  4. On navigating to the confirmation page
    (Example URLhttps://practice.detready.com/app/#confirmation_token=ra-o57jPTLY-ygDs_PJSmA)
    there is an error
    POST https://practice.detready.com/.netlify/identity/verify 422 (Unprocessable Content)
    Failed to handle signup webhook
    at db30266.js:2:140845

Just to stress no code deployment or settings have been changed for over a month.
These issues started yesterday and are causing bit distruption.

I know identity is being deprecated, however I thought current instance setup was being honoured?

Does anyone know what’s going on?

Update – Issue Resolved

Just wanted to follow up in case anyone else runs into this.

It turns out the Netlify Identity 422 wasn’t actually caused by Identity itself — it was a bit of a red herring. After some digging, I discovered that Stripe had automatically expired one of my old live API keys without any warning.

That key was being used inside my Identity webhook, so when Stripe started rejecting it, the webhook began failing — and Netlify Identity surfaced that failure as a 422 (“Failed to handle signup webhook”).

Once I generated a new live secret key in Stripe, updated my environment variable in Netlify, and redeployed (clearing the cache just to be sure), everything went back to normal.

So if anyone suddenly starts getting 422s out of nowhere, double-check any connected services like Stripe. Even if you haven’t deployed or changed anything, a rotated or expired API key upstream can break your flow unexpectedly.

As an aside, Netlify Identity has been deprecated. While you can continue using it on sites that already had it, we won’t be troubleshooting issues about it.

So unfortunately, if you do run into issues again, we would not be able to help.