Cash App CFPB Refund Payout Date: When will you get a portion of $224 Million!

The Block Inc. Cash App parent company has agreed to resolve the Consumer Financial Protection Bureau case and lawsuit with State regulators with a settlement fund of $255 million. Under the CFPB settlement, the Cash App users will receive a refund through the settlement. 

The CFPB orders Block, the peer-to-peer payment app Cash app operator, to pay $175 million. The Cash app users are wondering about the refund and its payment date can check every detail here. 

Cash App CFPB Refund Payout Date

Block Inc. went under the CFPB investigation for complaints alleging the defendant had weak security protocols that failed to protect the customer’s personal information and put the Cash App account at serious risk of unauthorized access and transactions. The Block Inc. is the operator of Cash App, hence, their failure to protect the customers has led to customers’ financial loss and personal information loss. 

CFPB also alleges that  Block used a variety of strategies to discourage Cash App users from asking for assistance to reduce their expenses. So, to resolve the case and make the company accountable for its practices and the problem customers faced, the CFPB has recently announced and ordered Block Inc. to pay $175 million to pay for the failure to fix the fraud. 

According to the announcement, the Cash App users will receive a refund from the $120 million fund of the total settlement fund. The Cash app account holders who have faced the problem due to the Block practices and weak security protocol can expect the payout soon as the CFPB has not revealed the payout date.

The CFPB will soon enforce the orders to provide the refund to the affected Cash App customers, so you can expect the refund payout in March or May 2025. 

Who will receive the Cash App CFPB refund?

According to the Block Inc. CFPB settlement, the customers who meet the following qualifications will receive the CFPB refund:

  • The Cash App customers did not receive any refund for the inconvenience they faced and were entitled to receive for the problem. 
  • The Cash App customers  whose accounts were locked from the operator or the company for a period when they faced unauthorized transactions;
  • The Cash App customers whose accounts or the accounts linked to Cash App have faced unauthorized transfers or transactions;
  • The Cash App customers did not receive any provisional credits due to any delay in the refund investigations. 

Cash App CFPB Refund Per Person

According to the CFPB, the Cash App users will receive a refund for the inconvenience they faced due to the Block’s failure to protect the customers from unauthorized transactions and access. As per the settlement, Block will pay $120 million to offer a refund and other redresses to the harmed Cash App customers from the $175 million.  

According to the CFPB, Block Inc. will at least pay a $75 million amount to refund the affected customers and other redressal for the customers. The CFPB has not revealed the refund payout amount for the affected customers as they will process the payment based on the investigation they will do to find the affected customers. 

Hence, the refund per person has not been revealed yet, however, the customers would receive the refund in the form of Credits to their Cash app account. 

What is the other measure Block promised in the CFPB settlement? 

According to the CFPB settlement for Block Inc., the defendant would pay a penalty of $55 million in the CFPB victim’s relief fund, which supports the CFPB in taking legal action against the company person for breaking the law and providing support to the affected person. 

As per the agreement, Block will also fix their customer service which was one of the allegations that the operator failed to investigate and address the customer’s complaints through customer services. The Block Inc. will ensure the same misconduct will not happen again. 

The CFPB ordered Block to set up a 24-hour live person customer service to address the customer issues 24×7 and work on making their services better. The order also says the Block will investigate the unauthorized transactions happening due to the weak security and process the refund timely. 

Does the Cash App need to claim the CFPB refund?

CFPB ensures that payment apps and services and other technology companies follow federal law and redress the affected customers. The CFPB has finalized the settlement against Block Inc., the parent company of the Cash App to make them accountable for the Cash App customers who faced financial loss due to the unauthorized loss. 

The CFPB has said the affected customers will receive a refund for the inconvenience they faced and the Block will also pay a penalty for their practices that caused harm to the customers. Now, the customers wondering if they have to apply for this refund can stay tension-free as the CFPB directs the customers will not need to take any action to receive the refund. 

The Block Inc. will identify the harmed customers as per the investigations and process the refund to the Cash app users in the following ways:

  • Customers who have seen transactions within the last six months on their Cash App account as of on the Redressal plan can receive the refund as credits to the Cash App account. 
  • If the Cash App customers have not transacted on the Cash App account in the last six months of the Redressal plan date or on the payment date will receive the non-credit payments separately from the app. 

The Cash App users who think they are eligible for a refund from Block Inc. due to the CFPB investigation can expect the payment soon, so do check your Cash App account. 

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