Claiming Compensation for Cash App Data Breaches: What You Need to Know
Recently, Cash App customers have been given the opportunity to claim more than $2,500 each as part of a $15 million settlement resulting from a class-action lawsuit involving data and security breaches in mobile payment services. If you have experienced unauthorized access, fraudulent withdrawals, or transfers from your account between August 23, 2018, and August 20, 2024, you may be eligible to file a claim.
Background of the Lawsuit
The class action lawsuit highlighted incidents where Cash App accounts were compromised, including a case in 2021 where a former employee accessed user reports without permission and another breach in 2023 involving unauthorized users accessing accounts through associated phone numbers. Plaintiffs allege that Cash App and its parent company, Block, failed to implement sufficient security controls and mishandled customer complaints.
Submitting a Claim
To file a claim, visit the official settlement website and provide the required information, such as the notification ID and confirmation code from the notification you received. The deadline for submitting claims is November 18.
Potential Compensation
The amount of compensation each claimant receives will depend on the total number of claims filed. However, individuals impacted by data breaches can claim up to $2,500 for out-of-pocket losses, supported by third-party documentation. These expenses may include fees for credit monitoring, card replacement, bank account closures, and more. Claimants can also request compensation for up to three hours of lost time at a rate of $25 per hour and seek reimbursement for transaction losses with proper documentation.
If the Settlement Fund is unable to cover all claims in full, payments will be reduced proportionally. Claimants have until November 1 to opt-out of the settlement or object to its terms. Choosing to take no action may result in forfeiting the right to future legal action on covered claims.
Overall, this settlement aims to provide relief to Cash App customers affected by security breaches and compensate them for any financial losses incurred. By following the outlined process, eligible individuals can seek restitution and help improve data security practices in the future.
