Cash App Class Action Settlement 2025: How to Claim Your $2500

A major compensation effort for Cash App users has begun, following a $15 million settlement deal that seeks monetary losses and other harms arising from alleged breaches in the security of users’ data. According to reports, Block, Inc. and Cash App Investing are accused of failing to ensure the security of their customers’ personal data, which led to accounts being accessed by third parties and suspicious transactions. While these companies did not admit responsibility for the disaster, both signed the agreement to avoid a lengthy and uncertain trial.

Key developments raised in the lawsuit

The lawsuit highlights several major security failures:

• 2022 data breach: A former employee of Cash App Investing accessed confidential information of consumers.
• 2023 incident: Hackers used recycled phone numbers and infiltrated various profiles, exposing flaws in the security of the Cash App platform.

The court claims that these security flaws resulted in financial loss and mental stress, which was exacerbated by an inadequate response to customer complaints.

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Eligibility Criteria:

Individuals who meet the following criteria may be eligible for compensation under the settlement:

• Unauthorized access to personal data or Cash App accounts.
• Fraudulent withdrawals, transfers, or erroneous transactions.
• Incidents that occurred between August 23, 2018 and August 20, 2024.

Compensation Structure

The $15 million fund will be divided into different categories to cover different types of losses:

Direct Compensation

• Personal Expenses: For claims of $2,500 or less, such as identity theft monitoring fees, credit protection, and unreimbursed bank overdrafts.
• Loss of time compensation: Users who spent more than 3 hours resolving security issues will be paid $25 for each hour.
• Loss of unauthorized transactions: If any loss is caused by credit card fraud, identity theft or other unauthorized use, it will be refunded without responsibility for compensation by Cash App or other financial entities.

Equitable distribution clause

If claims exceed the total settlement amount, the payment will be adjusted proportionately. Excess funds may be redistributed among claimants or donated to a charitable organization.

Claim submission process

Those who were eligible had to fill out a claim form by November 18, 2024. This could be done through the online platform or by post with supporting materials such as receipts, police complaints or other correspondence.

Timelines and Next Steps

The judicial body adjusted certain process-related matters and has set the final approval date as January 13, 2025. Payments may be made within the next 9 to 12 months after court approval. Claimants are advised to keep their contact details updated to avoid any delays in payments.

If assistance is needed, users can contact the Cash App Security Reconciliation Administrator at 1-866-615-9740.

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Conclusion

This settlement makes it clear that security improvements are needed for online money platforms. In addition to a more meaningful calculation of users’ losses, it also raises a larger question of whether tech companies should be more responsive to data security and ensure data security.

For clarity, claimants can read the Settlement FAQ or contact the Reconciliation Administrator directly.

FAQs