Cash App users have the opportunity to claim up to $2,500 as part of a class action settlement concerning data breaches. The payments app, along with its parent company Block, has agreed to a proposed $15 million settlement to resolve a lawsuit related to unauthorized access to account data.
Eligibility for the settlement is subject to specific rules, which are more complex compared to some recent class action cases. Cash App, known for its peer-to-peer payment platform, debit card, and investing services, asserts no wrongdoing in the case but acknowledges a data security incident in December 2021.
A lawsuit revealed that 8.2 million customers had their information compromised, including names, brokerage account numbers, and investment activities, such as portfolio values. The breach occurred when a former employee downloaded reports containing customer details without authorization.
Another incident disclosed in September 2023 involved an individual gaining unauthorized access to accounts using recycled phone numbers linked to the accounts. These numbers had been reassigned after the previous users ended service or changed numbers.
Who is eligible for the Cash App settlement?
To qualify for compensation, affected customers must demonstrate that they suffered losses due to the breach. Eligibility conditions include being a current or former customer of Cash App, Cash App Investing, or an affiliated company. Customers may also qualify if their account information was accessed without authorization or if they experienced unauthorized financial transactions between Aug. 23, 2018, and Aug. 20, 2024.
To claim compensation, documentation of related losses is required, such as expenses for credit monitoring, identity theft insurance, fees for credit freezes, or overdraft fees. Users may also be compensated for lost time (up to three hours) or stolen funds from compromised accounts.
How to apply for the Cash App settlement
If you meet the eligibility criteria, you can apply for the settlement by submitting a claim online. Users who received personalized notices regarding the settlement can submit their notice ID and confirmation code. Alternatively, those who were not contacted can still file a claim by providing supporting documentation.
Claimants are required to detail any unauthorized withdrawals from their accounts and submit relevant evidence, such as communications with Cash App, loss receipts, or police reports. The deadline for claim submission is Nov. 18, 2024, with a final approval hearing scheduled for Dec. 16.
How much is the Cash App settlement?
The settlement offers compensation of up to $2,500 for out-of-pocket losses, along with reimbursement for up to three hours of lost time at $25 per hour. Victims of unauthorized financial transactions can also seek reimbursement for the amount lost. The final payment amounts will depend on the total number of claims submitted, with proportional distribution if necessary.
For more information on the Cash App settlement and how to claim your compensation, visit our website. Our experts are here to guide you through the process and assist with any financial concerns.
