Users of Block and Cash App may be eligible for up to $2,500 as part of a class-action settlement reached between users and the company.
Cash App faced a lawsuit after users alleged that the company was negligent when a former employee accessed account data without permission in 2022. They also claimed negligence when an “unauthorized user” accessed accounts in 2023 using recycled phone numbers linked to the accounts.
Users stated that Cash App “failed to implement appropriate controls to prevent unauthorized access” to their accounts.
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Under the settlement, Cash App does not admit wrongdoing.
What is Cash App?
Cash App is an application that enables customers to send and receive money to each other, similar to Venmo and Apple Pay. It can also be used for sending, spending, or investing in stocks or bitcoin.
Who is eligible?
Individuals who have used the app since 2018 could be eligible. Those who experienced out-of-pocket losses and can provide evidence using third-party documentation can claim up to $2,500.
Out-of-pocket losses may include expenses related to credit monitoring, credit freezes, requesting a credit report, canceling a payment, and unreimbursed overdraft fees.
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Those who suffered a financial loss due to an unauthorized withdrawal or refund are eligible.
Cash App is set to pay up to $15 million in claims, according to the filing.
How to make a claim
Users have until Nov. 18, 2024, to submit a claim online. By filing a claim, users become part of the settlement and forfeit the option to seek additional damages from this incident.
A federal court is expected to finalize the settlement on Dec. 16, with payments potentially being distributed after the hearing.
