Within a few years, the Cash App is now one of the most popular peer-to-peer payment apps in the United States. But after numerous data breaches exposing personal user information, security concerns have arisen.
Cash App Class Action Settlement is being talked about here and the website is www.cashappsecuritysettlement.com. Cash App’s parent company, Block, Inc agreed to pay a $15 million settlement in response to these events to compensate users.
Cash App Class Action Settlement
Around 8.2 million individuals were affected by the 2021 and 2023 security compromises that resulted in this settlement. The initial compromise resulted from a former employee gaining unauthorized access to private user information, revealing financial information to possible misuse.
The second compromise had risk factors within Cash App’s account recovery process, particularly pertaining to reused phone numbers, which caused fraud and unauthorized access.
Eligibility Criteria
The settlement’s main objective is to reimburse users who incurred monetary or personal damages from these violations. Users must have had an account with Cash App between 23rd August 2018 and 20th August 2024, in order to be qualified.
Further, they were required to present evidence of unauthorized access, fraud, or identity theft concerning these security incidents. Even users who did not incur direct monetary losses but had their data leaked were in line for possible compensation.
How Users Filed Their Claims
- Though the deadline for filing claims was 18th November 2024, impacted users needed to go through a process to make a claim for compensation.
- They needed to visit the official settlement website and complete a settlement claim form with their name, contact details, and information regarding their Cash App account.
- To substantiate claims, further evidence was needed, such as bank statements containing illegal transactions, or identification of identity theft.
- Those who successfully completed their forms within the deadline waited for approval of their compensation.
Expected Timeline for Settlement Payouts
The final approval hearing of the settlement took place on 13th January 2025, and Cash App should begin making payments by mid-2025 if it is officially approved. Their payout status will be updated by email to the claimants who successfully filed their claims.
If the claimant wishes, payments will be issued by postal check or direct deposit. With the overall amount of the settlement being $15 million, the ultimate payment to each user will be based on the number of claims that were approved, and some users will receive as much as $2,500.
How to Protect Your Cash App Account
- Members should do all they can to secure their Cash App accounts for future attacks while the settlement rectifies past vulnerabilities.
- By requesting a second verification code at the time of login, two-factor authentication (2FA) offers an added layer of protection.
- Utilizing strong and distinctive passwords for Cash App and other financial accounts prevents unauthorized access.
- One should regularly check their cash app transaction history and should be vigilant about suspicious activity.
