$2,500 Cash App Compensation: Who is Eligible and How to File a Claim

Some Cash App users may be eligible for a cashout of up to $2,500 after the company reached a multimillion-dollar settlement in a lawsuit.

Users or consumers can take legal action against companies when they do not respect the terms of their services or advertisements, as well as when there are privacy violations. If the situation is widespread, a class action lawsuit can be filed for the benefit of others.

This concerns some Cash App users who claim that Block, Inc. and Cash App Investing were negligent, made false statements, and breached other obligations.

According to the complaint, the companies breached certain obligations in connection with a data security incident that Cash App Investing disclosed in April 2022, a data security incident that Block disclosed in October 2023, and alleged unauthorized and fraudulent withdrawals and transfers of funds.

In 2022, Cash App confirmed that a former employee had accessed account data without permission, and in 2023, it was revealed that an unauthorized user was able to access accounts using recycled phone numbers. The company was also accused of failing to implement adequate controls to prevent unauthorized account access.The companies have reached a $15 million settlement to compensate users, although they deny they “did anything wrong.”

Cash App Offers $2,500 Compensation: Who Can Apply and How to Apply?

Persons entitled to compensation include: any Cash App or Cash App Investing user whose information has been accessed without permission or who has made unauthorized or fraudulent withdrawals or transfers of funds to or from their account between 23 August 2018 and 20 August 2024

To claim your money, you must submit a valid claim form on time. This document must be submitted no later than November 18, 2024.

Eligible users who submit a valid claim form on time and have it approved will be entitled to compensation:

Refund of monetary losses

Class Members may receive up to $2,500 if they experienced a data security incident, unauthorized account incident, or failure to resolve error in connection with their Cash App account or Cash App Investing account that occurred between August 23, 2018 and August 20, 2024.

Reimbursement for lost time

Users can submit Lost work time claim up to three (3) hours at a rate of $25 per hour.

Trading losses

They can also submit an application a claim for reimbursement of documented transaction losses resulting from an unauthorized account incident which took place between August 23, 2018 and August 20, 2024.

In such case, you must provide a copy of the notice to Defendants of the unauthorized account incident, a copy of the police report relating to the unauthorized account incident, or documentation demonstrating to the Settlement Administrator that an unauthorized account incident occurred.

More details can be found on the contract’s web portal.