Cash App, which is used by many consumers to transfer money, has agreed to a $15 million settlement related to a data breach. Unlike most settlements, which give victims very little, affected Cash App customers can expect to receive up to $2,500 in compensation.
In 2022, Cash App disclosed a data breach that occurred in 2021. This resulted in a class action lawsuit in which plaintiffs alleged that Cash App and its parent company Block failed to put controls in place that would have prevented unauthorized access to customer data. The lawsuit further alleged that Cash App failed to respond to complaints about overall security.
Cash App users whose accounts were accessed without their authorization or who made fraudulent withdrawals or transfers are eligible to receive compensation of up to $2,500. They are eligible if they had an account between August 23, 2018 and August 20, 2024.
Plaintiffs have filed a notice of proposed settlement in Salinas et al. v. Block, Inc. and Cash App Investing, LLC in the District Court for the Northern District of California, which the court will have discretion to accept.
In the meantime, plaintiffs’ attorneys are urging affected Cash App users to file a lawsuit. The deadline to file a lawsuit is November 18, with a final approval hearing set for December 16. You can start the lawsuit process here.
Mark Huffmanreporter
Mark Huffman has been a consumer news reporter for ConsumerAffairs since 2004. He covers real estate, gas prices and the economy, and has covered negative option selling extensively. Previously, he was a reporter and editor for the Associated Press in Washington, DC, and a correspondent for Westwood One Radio Networks and Marketwatch.
Read full biography
