Cash App settlement news continues to draw attention as millions of U.S. users wait to learn how two major legal cases will affect them. The popular payment platform, owned by Block, Inc., has faced lawsuits over spam-text marketing and data security failures. With new deadlines approaching, here’s a detailed look at the latest developments.
The $12.5 Million Spam-Text Settlement
In July 2025, Cash App agreed to a $12.5 million settlement to resolve claims that its referral program violated Washington state law. The class action, known as Bottoms v. Block Inc., accused the company of enabling users to send unsolicited promotional messages through the “Invite Friends” feature.
Key dates and milestones:
- Preliminary approval: July 29, 2025
- Final approval hearing: December 2, 2025
- Claim filing deadline: October 27, 2025
If the court grants final approval, eligible Washington residents who received referral texts without prior consent will be entitled to a share of the payout.
Who qualifies?
- Residents of Washington who got referral texts between November 14, 2019, and 2025 (specific cutoff pending).
- Individuals who did not agree to receive these messages in advance.
How much will be paid?
Each valid claimant is projected to receive between $88 and $147. The final figure depends on how many people file claims, since the settlement fund will be split evenly after administrative costs and attorney fees.
How to claim your payment:
- Visit the official settlement website (BottomsTextSettlement.com).
- Fill out the online claim form with your contact details and the phone number that received the texts.
- Confirm eligibility and submit before the October deadline.
The $15 Million Data Breach Settlement
Another significant Cash App settlement, valued at $15 million, was reached in 2024. This case centered on unauthorized access to user accounts and personal information. Affected customers reported fraudulent withdrawals, identity theft, and other security breaches.
Coverage period: August 23, 2018 – August 20, 2024.
Compensation available:
- Up to $2,500 in reimbursement for documented losses such as fraudulent charges, stolen funds, or identity theft expenses.
- Repayment of out-of-pocket costs like bank fees, credit monitoring, or time spent addressing fraud.
The claim deadline closed on November 18, 2024, and payments are now expected to be distributed to eligible users.
Why Multiple Settlements?
The Cash App spam-text and data breach cases are part of a larger pattern of scrutiny directed at financial technology companies. Regulators and courts have stepped up oversight, demanding that platforms handle consumer data responsibly and follow communication consent laws.
In 2025 alone, Cash App’s parent company Block also paid:
- $80 million to 48 states over anti-money laundering violations.
- $40 million to New York regulators for compliance failures.
- $175 million to the Consumer Financial Protection Bureau for mishandling fraud claims, with $120 million going directly back to customers.
These penalties highlight how fintech companies are being held accountable in ways similar to traditional banks.
What Consumers Should Do Now
If you believe you may be eligible for the Cash App spam-text settlement, take action promptly. Deadlines are firm, and late claims will not be considered.
Steps to protect your rights:
- Check eligibility carefully. Make sure you lived in Washington and received the texts during the covered period.
- File online. Use the official settlement portal to avoid scams.
- Keep records. Save copies of your claim submission, confirmation, and any relevant texts.
- Stay alert for updates. Courts sometimes delay approval hearings or adjust payment timelines.
Although the data breach settlement filing period has ended, users who submitted claims should monitor updates regarding payment distribution.
The Bigger Picture for Cash App Users
For many Americans, Cash App is a go-to tool for sending money quickly, paying bills, or receiving direct deposits. These legal challenges serve as reminders that convenience must be balanced with transparency, consent, and security.
By pursuing settlements, affected users can recover part of their losses or compensation for privacy violations. At the same time, these outcomes push companies like Block to strengthen protections and prevent similar issues in the future.
Cash App users who qualify should not delay—check your eligibility for the current settlement and file before the October 27 deadline. Have you received one of these referral texts or dealt with Cash App account issues? Share your experience in the comments and join the conversation.