In December 2021, Cash App, a widely used mobile payment service, experienced a significant data breach that compromised the personal information of over 8 million current and former users.
This incident led to a class-action lawsuit against its parent company, Block Inc., culminating in a $15 million settlement in 2024.
Affected users are now eligible to claim compensation for their losses. This article provides a comprehensive guide on eligibility criteria, types of claims, and the process for submitting a claim form.
Eligibility Criteria For Compensation
To qualify for compensation under the settlement, users must meet the following conditions:
- Account Activity: You must have had an active Cash App account between August 23, 2018, and August 20, 2024. Accounts outside this timeframe are not eligible.
- Unreimbursed Losses: If you have already received compensation from Cash App, Block Inc., or any third party for the same losses, you are ineligible to file a claim to prevent duplicate payments.
Categories of Claims and Corresponding Compensation
The settlement outlines three primary categories for claims, each with specific requirements and compensation limits:
1. Out-of-Pocket Losses
- Definition: Direct financial expenses incurred due to the data breach.
- Examples: Costs for credit monitoring services, identity theft insurance, fees for replacing payment cards, or expenses related to closing and opening bank accounts.
- Compensation Limit: Up to $2,500, based on documented expenses.
- Required Documentation: Receipts, invoices, or bank statements substantiating the expenses.
2. Lost Time
- Definition: Time spent addressing issues directly related to the data breach.
- Examples: Time spent reviewing unauthorized transactions, communicating with customer support, or implementing security measures for your account.
- Compensation Rate: $25 per hour, for up to three hours, totaling a maximum of $75.
- Required Documentation: Logs or records detailing the time spent and activities undertaken.
3. Transaction Losses
- Definition: Financial losses from unauthorized transactions that have not been reimbursed.
- Examples: Unauthorized withdrawals or transfers from your Cash App account.
- Compensation Limit: Up to $2,500, depending on the extent of the loss.
- Required Documentation: Evidence such as transaction records, police reports, or correspondence with financial institutions.
Filing a Claim for Multiple Accounts
If you have multiple Cash App accounts affected by the breach, submit a single consolidated claim form. Include the $Cashtag identifiers for each account and detail the associated claims to ensure comprehensive processing.
Important Deadlines
The deadline to file a claim is November 18, 2024. Claims submitted after this date will not be considered, so timely action is crucial.
Step-by-Step Guide to Submitting a Claim
- Access the Claim Form: Visit the official settlement website at cashappsecuritysettlement.com to access the claim form.
- Provide Personal Information: Fill in your contact details, including name, address, and email.
- Specify Claim Categories: Indicate the type(s) of claims you are filing—Out-of-Pocket Losses, Lost Time, and/or Transaction Losses.
- Attach Supporting Documentation: Upload or attach all necessary documents that substantiate your claims.
- Select Payment Method: Choose your preferred method for receiving the settlement payment (e.g., virtual prepaid card, Venmo, Zelle, or physical check).
- Review and Submit: Carefully review all information for accuracy before submitting the form.
| Claim Category | Description | Compensation Limit | Required Documentation |
|---|---|---|---|
| Out-of-Pocket Losses | Direct financial expenses due to the breach | Up to $2,500 | Receipts, invoices, bank statements |
| Lost Time | Time spent addressing breach-related issues | Up to $75 | Logs or records of time spent |
| Transaction Losses | Unreimbursed unauthorized transactions | Up to $2,500 | Transaction records, police reports, correspondence |
The Cash App data breach settlement offers affected users an opportunity to receive compensation for their losses.
By understanding the eligibility criteria, types of claims, and the submission process, you can ensure that you receive the compensation you deserve. Act promptly to meet the November 18, 2024, deadline and secure your settlement benefits.
FAQs
1. What is the Cash App data breach settlement about?
In December 2021, a data breach compromised the personal information of over 8 million Cash App users. A class-action lawsuit led to a $15 million settlement to compensate affected users.
2. Who is eligible to file a claim?
Users with an active Cash App account between August 23, 2018, and August 20, 2024, who incurred unreimbursed losses due to the breach, are eligible.
3. What types of compensation are available?
Eligible users can claim for Out-of-Pocket Losses (up to $2,500), Lost Time (up to $75), and Transaction Losses (up to $2,500), each requiring appropriate documentation.
4. How can I submit a claim?
Visit cashappsecuritysettlement.com, complete the claim form, attach necessary documentation, and submit it by November 18, 2024.
5. When is the deadline to file a claim?
The deadline to file a claim is November 18, 2024. Submissions after this date will not be reviewed, so ensure you act promptly.
