Cash App Settlement: The Cash App Settlement has drawn significant attention as affected users await compensation from a $15 million settlement fund following a class action lawsuit against Cash App Investing and its parent company, Block Inc. This lawsuit stemmed from allegations of security failures, unauthorized access to user accounts, and financial losses caused by insufficient safeguards.
With the claim submission deadline set for November 18, 2024, eligible individuals must act promptly to ensure they receive their compensation. The final settlement approval hearing is scheduled for January 13, 2025, after which payouts are expected to commence.
This article provides a comprehensive guide on the Cash App Settlement, including eligibility requirements, compensation categories, application instructions, and estimated payout timelines.
Cash App Settlement: Key Details at a Glance
| Aspect | Details |
| Settlement Fund | $15 million |
| Claim Deadline | November 18, 2024 |
| Exclusion/Objection Deadline | November 18, 2024 |
| Final Approval Hearing | January 13, 2025 |
| Class Period | August 23, 2018 – August 20, 2024 |
| Maximum Individual Payout | Up to $2,500 for out-of-pocket losses |
| Claim Submission Method | Online or by mail |
| Settlement Website | cashappsecuritysettlement.com |
| Estimated Payout Timeline | 90-180 days after final approval |
What is the Cash App Settlement and Why Did It Happen?
The Cash App Settlement emerged after a series of lawsuits were filed against Cash App Investing and Block Inc., accusing them of failing to safeguard user data and financial assets.
Key Issues That Led to the Settlement:
- Unauthorized Access: Employees and third parties allegedly accessed user accounts without consent.
- Recycled Phone Numbers: Accounts linked to recycled phone numbers were breached.
- Poor Security Measures: The company reportedly failed to implement adequate cybersecurity protocols.
- Delayed Response: Users faced delays and inadequate support when reporting fraudulent activities.
Legal Resolution:
- The lawsuits were consolidated into a class action settlement.
- A $15 million settlement fund was established to compensate affected users for financial losses, time spent addressing unauthorized access, and emotional distress.
Who is Eligible for the Cash App Settlement?
To qualify for a payout from the Cash App Settlement, you must meet the following criteria:
- Current or Former User: You must have been a current or former Cash App or Cash App Investing user.
- Class Period: Your account must have been affected between August 23, 2018, and August 20, 2024.
- Account Breach or Loss: You must have experienced unauthorized access, financial loss, or suspicious activity linked to your Cash App account.
- Proof of Impact: Documentation proving your financial loss, unauthorized access, or time spent resolving issues must be provided.
If you meet these requirements, you are eligible to file a claim and receive compensation.
Types of Compensation Available in the Cash App Settlement
The $15 million settlement fund will be distributed among eligible claimants after covering legal fees, administrative costs, and service awards for class representatives.
1. Lost Time Compensation
- Amount: $25 per hour (up to 3 hours).
- Purpose: Reimbursement for time spent addressing unauthorized access, reporting fraud, or securing accounts.
2. Out-of-Pocket Loss Compensation
- Amount: Up to $2,500.
- Purpose: Covers direct financial losses, such as unauthorized transactions, costs of freezing accounts, or hiring financial protection services.
- Required Documentation: Proof of expenses, bank statements, police reports, or receipts.
3. Transaction Loss Compensation
- Amount: Based on transaction losses during the class period.
- Purpose: Refund for unauthorized transactions resulting from data breaches.
- Required Documentation: Transaction statements, police reports, or communication records with Cash App support.
How to File a Claim for the Cash App Settlement
Filing a claim is a straightforward process, but it’s essential to meet the November 18, 2024 deadline.
Option 1: File Online
- Visit the official settlement website: cashappsecuritysettlement.com.
- Enter your Notice ID and Confirmation Code (if applicable).
- Fill out the claim form accurately.
- Upload supporting documents as required.
- Submit the form before the deadline.
Option 2: File by Mail
- Download the claim form from the settlement website.
- Complete the form and attach all necessary supporting documents.
- Mail your completed claim to:
Cash App Security Settlement Administrator
1650 Arch Street, Suite 2210
Philadelphia, PA 19103
Important: If you have multiple Cash App accounts, consolidate them into a single claim form and include details for each account.
When Will the Cash App Settlement Payout Be Distributed?
The final approval hearing is scheduled for January 13, 2025, at the District Court for the Northern District of California. During this hearing, the court will assess the fairness and reasonability of the settlement agreement.
Expected Timeline:
- Approval Stage: If the settlement is approved, payouts will begin 90 to 180 days after the final approval date.
- Payment Method: Claimants opting for electronic payments (e.g., direct deposit) will receive their funds faster.
- Paper Checks: Physical checks may take longer due to mailing processes.
Recommendation: Opt for electronic payments to ensure a quicker payout.
Key Deadlines to Remember
- Claim Submission Deadline: November 18, 2024
- Exclusion/Objection Deadline: November 18, 2024
- Final Approval Hearing: January 13, 2025
Missing these deadlines could result in the loss of your eligibility for compensation.
What Should Claimants Do Now?
- Check Eligibility: Ensure you meet the eligibility criteria.
- Gather Documentation: Collect all necessary documents to support your claim.
- Submit Your Claim: File your claim online or by mail before November 18, 2024.
- Stay Updated: Monitor the official settlement website for updates.
- Choose Electronic Payment: Opt for a faster payout method during claim submission.
Final Thoughts
The Cash App Settlement represents an opportunity for affected users to receive compensation for financial losses, lost time, and emotional distress caused by unauthorized access to their accounts. With a $15 million fund allocated for this settlement, eligible users must act promptly to secure their share.
By filing your claim before the November 18, 2024 deadline and opting for electronic payment, you can ensure a smoother and faster payout process.
Stay informed, act now, and secure the compensation you deserve!
