The two people were claiming to be Gardai
The incident happened at the woman's home in the Capwell area of the city at around 4am on Friday morning.
It's reported that the woman, who lives alone in the house, woke to find two men in her bedroom claiming to be members of An Garda Siochana.
It's understood the men claimed to be Gardai, and told the woman they were investigating burglaries in the area, before asking her where she kept her savings.
A sum of money was taken, however Gardai later arrested a man in his 20s and a man in his 40s who are currently being detained at Togher Garda Station.