KEY POINTS
- Following two separate instances of data breaches occurring in 2022 and 2023, the company has reached a settlement of $15 million with users who were impacted.
- If your Cash App account was hacked within the past six years, you could possibly qualify to submit a claim.
- Cash App will also compensate users for any time lost and transaction costs incurred due to the security breaches.
If you currently are or were a Cash App If you have been a user for the past six years, you may qualify for a $2,500 payment.
As per the information on the Cash App’s website, individuals who have encountered unauthorized withdrawals or transfers from their Cash App accounts may qualify for a settlement if they held an account between August 23, 2018, and August 20, 2024.
The settlement is linked to a $15 million class-action lawsuit that places blame on Cash App for two significant data breaches that resulted in the loss of funds for certain users. accounts set up with a brokerage firm that allow individuals to buy and sell investments such as stocks, bonds, and mutual funds . If you have been affected by this data breach, please fill out and submit a form. Claim Form Your payment must be received by November 18, 2024, at the latest.
Excuse me, can you provide more information about the situation with Cash App?
In 2022, an ex-employee of Cash App unlawfully obtained account information. To make matters worse, in 2023, an unauthorized individual gained access to accounts by using recycled phone numbers associated with the accounts.
Who qualifies for the $2,500 settlement?
Not all individuals who have been using Cash App for the past six years will qualify for a $2,500 payment. Only submit a claim if you incurred financial losses related to the data breaches.
Apart from the money lost directly by users, those impacted by the security breaches on Cash App can also receive compensation for the time lost and financial losses incurred. Users have the option to claim reimbursement for up to three hours of lost time at a rate of $25 per hour. The transaction losses may encompass expenses such as credit monitoring, identity theft insurance, overdraft fees, account closure fees, and any other costs related to the security breaches.
It should be emphasized that no payment has been specified. finalized. Cash App states that if the total amount available for distribution ($15 million) is insufficient to cover all approved claims, payments will be allocated proportionally based on each claim’s approved amount.
Is it advisable for me to discontinue using Cash App?
No, this doesn’t imply you should discontinue using Cash App. However, it is advisable to be careful when using Cash App.
It’s important to note that funds held in the Cash App account are not protected by FDIC insurance. If you do not possess a Cash Card. If you possess this debit card, the funds in your account are protected by FDIC insurance for amounts up to $250,000.
Nonetheless, it is advisable to transfer funds from your Cash App account to another account with enhanced security measures, such as A checking account is a type of bank account that allows individuals to easily access and manage their funds for everyday transactions. In a banking institution. While these accounts may still be vulnerable to cyberattacks to some extent, their history of security may offer more reassurance compared to Cash App.
Cash App has changed the way we transfer money to one another, for both positive and negative reasons. While it offers ease in making payments, this convenience may come with a cost. If you suspect that your information has been compromised, make sure to submit your claim by the deadline of November 18, 2024.
