Cash App users are racing against the clock to secure their piece of a $15 million settlement resulting from significant security breaches. With the deadline for filing claims quickly approaching, many users are urged to act swiftly to potentially receive compensation of up to $2,500 due to unauthorized access and fraudulent activities involving their accounts.
The settlement stems from two major data breaches impacting Cash App's user base, as well as broader concerns over the company's security measures. For those unfamiliar with the situation, the issues began with the actions of a former employee who improperly accessed sensitive customer information, but things escalated when subsequent vulnerabilities allowed unauthorized account access.
According to documents filed with the U.S. Securities and Exchange Commission, the initial breach occurred back in December 2021. This incident involved someone downloading confidential reports from Cash App Investing, which unfortunately included personal information of users without permission. Specifically, approximately 8.2 million customers had their sensitive details exposed online, sparking considerable concern over the platform's security protocols.
The atmosphere around these breaches became increasingly tense when reports surfaced indicating the occurrence of unauthorized transactions on some customers' accounts last year. The resulting class-action lawsuit accused Cash App and its parent company, Block Inc. (previously known as Square), of demonstrating negligent security practices. Though they face these serious allegations, both Cash App and Block have denied any wrongdoing.
For those potentially affected by these security breaches, eligibility to file a claim opens up opportunities to recover losses incurred due to unauthorized actions on their accounts. If you’re one of the Cash App users whose accounts faced unauthorized access or fraudulent withdrawals since August 23, 2018, you may qualify for compensation. The claims must be filed by November 18, 2024, so timing is everything.
So, how can users file their claims? First, it’s important to gather the necessary documentation proving any unauthorized activity on your account. Acceptable materials might include correspondence with Cash App about the issue, reports made to banks or credit unions, police reports, or anything showing you took official steps to address the incident.
Claimants can potentially submit requests for various types of losses. These include out-of-pocket expenses directly relating to the unauthorized withdrawal, compensation for time lost dealing with the issue, or any transaction losses not yet covered by the company. Users can receive up to $2,500 for direct losses and claim $25 per hour for up to three hours for time spent tackling the fallout from the breach.
Another key detail is if you operate multiple Cash App accounts. If this is the case, you’ll only need to submit one claim form but should list all your Cash tags and related claims directly on it.
To file your claim before the November deadline, the process is straightforward. Interested users can navigate to the set official website to access the necessary claim forms. The aim is to raise awareness not just about the settlement but also about the importance of keeping one's personal data secure when using digital financial platforms.
For now, the urgency is palpable within the Cash App community as Nov. 18 approaches. Users are encouraged to not overlook this opportunity for compensation amid growing concerns about cybersecurity across digital payment services.
