On January 13, 2025, the California Northern District Court authorized the Cash App settlement related to the data breach. Class members are currently awaiting their rewards after submitting claims for compensation from the $15 million settlement fund.
The settlement administrator has not updated about the payment distribution on the website yet, however, the valid claimants can expect the settlement payout up to $2500 in the third or fourth quarter of 2025. The administration may take this much time because they need to estimate the settlement payout as per the claims and other factors.
According to the class action lawsuit, defendants Cash App Investing/Cash App and its parent company failed to prevent the 2022 and 2023 data breaches that compromised the personal information of customers, causing numerous customers to experience fraudulent or unauthorized transactions in Cash App or their financial accounts connected to Cash App accounts.
| Settlement | Cash App Security Settlement |
| Fund | $15 million |
| Who qualifies? | Customer affected by the April 2022 and October 2023 data breach |
| Class Period | 23 August 2018 and 20 August 2024 |
| Maxi. Payout | Up to $2500 |
| Payment Expected | 3rd or 4th quarter of 2025 |
| Settlement Benefits | Transaction losses, Out-of-pocket loss, and lost time compensation |
| Settlement Website | https://cashappsecuritysettlement.com/ |
Payout Amount
Under the Cash App settlement, the administrator will use the settlement fund of $15 million to compensate the class members with approved claims, but before they distribute the fund among claimants, they will first use it to cover some expenses, such as service awards for the plaintiffs’ class representatives, attorney fees & costs, administration costs, and other costs.
The remaining funds will be used to distribute the following awards to the class members based on the claims they made in the form:
- Out-of-pocket losses compensation: The Cash App current or former customers who have spent money from their pockets to resolve the issues arising due to the data breach of Cash App during the class period can expect a payout of up to $2500.
- Transaction Loss: The Cash App’s current or former customers who face unauthorized access and transactions during the class period in their Cash App account or other linked accounts to the Cash App account can receive a payment up to the money they lost.
- Lost time Compensation: The settlement also provides compensation for the time you invested in resolving the issue; here, the claimants can receive compensation for up to 3 hours at a payout rate of $25 for each hour, total of $75.
After the payment distribution, if the net settlement fund has money, the administration would distribute the remaining payment in equal proportion to all the class members.
Who is eligible?
The Cash App customers become the Cash App security settlement class member on the basis of the following criteria:
- You are a member who is a former or current Cash App/ Cash App investing customer or its affiliates, parent, or subsidiaries.
- Your personal information record in the Cash App/ Cash App investing account was compromised or obtained with your permission, or some third party has breached your account and is responsible for the fraudulent or unauthorized transfer of funds from either defendant’s accounts or another linked financial account between 23 August 2018 and 20 August 2024.
- You must have filed the claim for the Cash App settlement before or on the deadline, 18 November 2024.
Payment Mode
The settlement administrator will process the Cash App settlement payout for the class member with the approved claim through the mode they have selected in the claim form. In the claim form, the administrator has given the following options for the payment mode:
- Virtual Prepaid Card
- Zelle
- Physical Check
- Venmo
The class members must check if their current payment details are the same as the ones they have entered in the claim form. Because if not, you can miss your payment, so check it, and if it has changed, you must inform the administrator through email to [email protected] or call at 1-866-615-9740, or post the update to the administration’s postal address.
How to fix the claim?
According to the settlement agreement, the administration will send the deficiency notice to the claimants whose claims lack information. Those class members can fix the claim on the settlement website and ensure they receive the payout from the administrator. The class members of the Cash App security settlement can fix their claim in the following steps:
- You can go to the official “Cash App Security Settlement” website mentioned above.
- Next, click the Fix Claim option in the Menu section and enter your Notice claim ID and confirmation code.
- Once you submit the required code and ID, you will see your claim form information and correct it easily on the form.
- Once you add the missing or incorrect information, submit the claim form to receive the payout on time.
The Cash App settlement payout of up to $2500 will compensate the valid customers by 2025 for the inconvenience they faced due to the data breaches that occurred in 2022 and 2023, and members who submitted the claim on time.