The Cash App Class Action Settlement marks a significant consumer protection case related to the application’s alleged unlawful practices. The lawsuit claims that Cash App failed to implement sufficient security measures, leading to the unauthorized exposure of users’ personal information to cybercriminals. In addition to these major security breaches and instances of fraud linked to the misuse of private data, the application faces various other allegations.
As a result, the company has agreed to provide a substantial compensation package to address the settlement claims. This settlement has drawn considerable attention, especially in the wake of revelations about the illegal handling of user data. The class action lawsuit is set for its final hearing on January 13, 2025, which could bring a resolution to the concerns of affected individuals.
Cash App Settlement 2025 Overview
The Cash App Class Action Settlement of 2025 focuses on addressing major issues surrounding the misuse of personal information, including Social Security Numbers and banking details, which affected many individuals in the United States. The lawsuit targets Cash App and its parent company, Block Inc., primarily for their alleged negligence in handling two major data breaches.
Here’s an overview table on the Cash App Class Action Settlement 2025:
| Settlement Name | Cash App Class Action Settlement |
| Settlement Amount | $15 million |
| Claim Deadline | November 18, 2024 |
| Eligibility | Cash App users affected by data breaches between August 23, 2018, and August 20, 2024. |
| Claim Limit | Up to $2,500 per claimant |
| Basis of Lawsuit | Allegations of inadequate security measures leading to data breaches and unauthorized access to user information. |
| Key Issues | Data security breaches, unauthorized access to user accounts, potential financial losses. |
| Settlement Website | cashappsecuritysettlement.com |
| Final Hearing Date | January 13, 2025 |
The first breach occurred in 2022, when a former employee unlawfully accessed sensitive user data. The second breach took place in 2023, when hackers exploited linked phone numbers to access user accounts for fraudulent activities. Critics argue that the company failed to adequately secure customer data and did not take sufficient measures to address the breaches, leading to widespread concern about the safety of users’ personal information.
Deadline for Cash App Class Action Settlement 2025
The deadline for submitting claims in the Cash App Class Action Settlement was November 18, 2024. Eligible claimants may receive compensation of up to $2,500 to help mitigate their losses. Users who qualify for the settlement are encouraged to stay informed and check for any updates by visiting the official website at cashappsecuritysettlement.com.
Cash App Class Action Lawsuit 2025
Cash App, with approximately 56 million active users, faced significant backlash after reports emerged about unauthorized withdrawals and transfers. These breaches, which occurred between August 23, 2018, and August 20, 2024, resulted in a class-action lawsuit against both Cash App and its parent company, Block (formerly known as Square).
The lawsuit alleges that Block failed to implement necessary security measures to protect user data and prevent unauthorized access to accounts. Additionally, the plaintiffs argue that the company mishandled customer complaints, forcing victims to handle financial losses and identity theft on their own. While Block denied any wrongdoing, it opted to settle the case to avoid prolonged and costly legal proceedings.
Launched in 2013 to facilitate money transfers between individuals, Cash App has been under scrutiny since the security issues began in August 2018, which led to leaks of users’ personal information, including phone numbers and bank account details. Following an investigation by U.S. authorities, Cash App was found to have significant security flaws and agreed to pay $15 million in settlement funds to restore trust among its users.
Eligibility Criteria for Cash App Class Action Settlement
If you maintained a Cash App account during the specified period and experienced fraudulent transactions or unauthorized withdrawals, you may be eligible for compensation under the Cash App Class Action Settlement.
Eligible claims may include:
- Reimbursement for financial losses: Up to $2,500 for unauthorized access to your account.
- Compensation for related costs: Reimbursement for identity theft protection services, credit monitoring, or other fees incurred due to the breach.
- Reimbursement for lost time: Up to $65 for the time spent addressing the consequences of the security breaches.
To claim compensation, you must submit supporting documentation that proves your losses or fraudulent activities related to the breach.
Payment Dates
The Cash App Class Action Settlement payments will be distributed to the bank accounts of eligible individuals on specified dates. It is advised that affected individuals monitor the official website for updates on these payout dates.
The court’s final hearing to approve the settlement is set for January 13, 2025, via teleconference. If the court approves the settlement and there are no appeals to delay the process, the distribution of payments will begin.
However, the timeline for these payments to reach eligible individuals may extend into late 2025 or early 2026, depending on the proceedings.
Deepak Verma is a graduate from Delhi University with a First Division. With 8 years of teaching experience in Mathematics and Science, he has mentored secondary and senior secondary students. Currently, he is an author at SAMSA, where he applies his expertise to create engaging educational content.