Right now, in the United States, without a single doubt, Cash App is among the most famous and most used apps to send and receive money instantly. But the thing is, now, Cash App has got involved in some legal mess, and things aren’t looking great for them. There actually have been two class action lawsuits filed against them in just a matter of a few years, and now, they have even paid the settlement amount. So, let’s say for some reason you don’t know much about that, then just keep on reading to make yourself catch up to all this.
What Were the Lawsuits About?
1. Security Breach & Unauthorized Transactions (2018-2024)
Between 2018 and 2024, several security issues led to grievances between the users of Cash App. This ranged from data leaks, suspicious logins, to unauthorized transactions. In April 2022 and October 2023, the Cash App admitted to having given away sensitive user information.
The action led to a lawsuit known as Salinas vs. Block, Inc. (Block being Cash App’s parent company). The charge was that Cash App failed to protect users’ accounts adequately. Though Cash App denied any wrongdoing, it still opted to settle for $15 million.
2. Spam Text Messaging (2019-2025)
The second lawsuit claimed the reception of unwanted marketing texts against Cash App. Charges date from November 2019, whereby Cash App sent referral messages through its “Invite Friends” program. Many people said they never agreed to receive these texts.
Kimberly Bottoms, Washington-based, filed litigation in 2023. It covered messages exchanged between November 2019 and August 2025. Again, Cash App denied breaking any laws but agreed to pay a sum of $12.5 million.
Settlement Details
$15 Million Security Settlement
The settlement stated that Cash App shall pay $15 million for all damages and costs relating to the security hacking. If you were hit between August 2018 and August 2024, then you will have a slice of the settlement. Those who suffered out-of-pocket losses, say money was stolen directly from them, could claim a maximum of $2,500 for losses, provided they had proof. There was an additional reimbursement of $75 if they spent time trying to remedy the mess, such as contacting customer service or keeping an eye on their accounts.
The deadline for filing claims was on November 18, 2024. That is now long gone. The settlement was finally approved in March 2025, and once everything is sorted, payments are expected to be made by late 2025.
$12.5 Million Spam Text Settlement
For the spam-text case, Cash App agreed to pay $12.5 million. This is a little bit different since it’s limited to Washington state residents who were unlawfully sent Cash App Invite Friends texts without ever giving their prior consent.
Depending on the number of claimants, anywhere from $88 to $147 could be yours for the taking. The deadline to file claims is set at October 27, 2025, with the court giving its final approval in December 2025. Not really enough to break the bank, but wait-all the free cash for a text you didn’t really even want? It could have been worse, though.
Important Dates to Remember
- Security Settlement: Claims closed on November 18, 2024. Payments by late 2025.
- Spam Text Settlement: File by October 27, 2025. Court decision on December 2, 2025.
Miss the deadline? You won’t be eligible for any payout.
How To File or Check Your Claim
- Security Settlement: Visit cashappsecuritysettlement.com or call 1-866-615-9740 to check claim status.
- Spam Text Settlement: Letters and or emails sent out to prospective participants speaking on their eligibility would need to be replied to using the phone number that received the texts to confirm your claim.
