The Cash App $12.5M settlement has been officially confirmed, and eligible users could receive up to $147 as part of the class-action lawsuit.
The case centers around allegations that Cash App sent unsolicited promotional text messages to residents in Washington state, violating consumer protection laws. If you meet the criteria, you could be part of the settlement payout.
Cash App $12.5M Settlement Confirmed
| Key Fact | Detail |
|---|---|
| Settlement Amount | $12.5 million |
| Eligible Payment Amount | Between $88 and $147 per claimant |
| Payment Dates | Payments expected in early 2026 |
| Eligibility | Washington residents who received unsolicited referral texts |
What Is the Cash App $12.5M Settlement?
The $12.5 million settlement resolves a class-action lawsuit against Cash App’s parent company, Block Inc. The lawsuit accused the company of violating Washington state’s consumer protection laws by sending unsolicited promotional text messages through its Invite Friends referral program.
The lawsuit claimed that Cash App did not properly obtain prior consent from recipients, leading to legal action. While Cash App did not admit fault, the settlement was reached to resolve the claims. The $12.5 million will be distributed to those who received the unsolicited texts during the specified time period.
How Much Could You Receive?
The settlement fund will be divided among eligible claimants. The total payout per claimant will depend on the number of valid claims received. As an individual claimant, you can expect a payment between $88 and $147.
While some recipients may receive the maximum of $147, most are likely to receive payments closer to $88, depending on the total number of claims filed. Here’s how the payout works:
- Maximum payout: $147
- Average payout: $88 (estimated, based on total claims)
The exact amount you’ll receive will be calculated after the number of claims is finalized, and it will be based on a pro-rata distribution. This means the payout will be determined after the settlement fund is divided by the number of eligible claimants.
Who Is Eligible for the Cash App $12.5M Settlement?
To qualify for a cash payment, you must meet the following conditions:
Eligibility Criteria:
- Location: You must have been a resident of Washington state when you received one or more unsolicited referral text messages from Cash App.
- Unsolicited Text Messages: You must have received the text messages sent through Cash App’s “Invite Friends” feature.
- No Prior Consent: You did not give clear consent to receive marketing or promotional messages from Cash App.
- Claim Deadline: You had to file a valid claim by October 27, 2025. If you missed the filing period, you will no longer be eligible for compensation.
Importantly, you do not need to have had an active Cash App account to be eligible. If you received unsolicited promotional texts, you are likely included in the settlement.
Check Your Eligibility Criteria For Cash App $12.5M Settlement
If you are unsure whether you are eligible for the settlement, follow these steps:
- Visit the Official Settlement Website: The website contains a search tool where you can enter your claim information or contact details to check if you qualify for a payout.
- Look for Referral Texts: If you remember receiving unsolicited referral texts about Cash App’s Invite Friends feature and you lived in Washington state during that time, you’re likely eligible.
- Verify Your Claim Status: If you have already filed a claim, you can track your claim status online via the official portal.
Make sure to verify your claim status and review any emails or documents related to your claim.
When Will Payments Be Issued?
- First Payments: Payments will begin being issued in early 2026, with direct deposits typically processed first.
- Mailed Checks: If you opted for a mailed check, you should expect it between February and April 2026.
Note: Payments will be issued automatically. You don’t need to do anything extra if you’ve already filed a valid claim. However, make sure your bank account information or mailing address is up to date to avoid delays in receiving your payment.
How Are Payments Distributed?
The $12.5 million settlement will be divided among eligible claimants based on the total number of valid claims. After deducting attorney fees and administrative costs, the remaining funds will be allocated to claimants on a pro-rata basis. This means that each claimant’s payout amount will depend on the number of claims filed.
Are These Payments Taxable?
The payment you receive from this settlement is likely not taxable. Generally, settlements related to consumer protection violations (like this one) are not considered taxable income. However, it’s always a good idea to check with a tax professional if you have concerns or if the settlement includes specific terms that may affect taxation.
Fraud and Scams: Protect Yourself
With the settlement process underway, scammers may try to take advantage of potential claimants. The Cash App Settlement Administrator strongly warns individuals to be cautious of unsolicited calls, emails, or texts asking for personal or financial information.
Key Fraud Prevention Tips:
- Do not share your personal information, Social Security number, or banking details with unsolicited contacts.
- The settlement administrator will never ask for money or personal details in exchange for processing your claim.
- Verify all information on the official settlement website and only interact with official channels.
If you receive any suspicious communications, report them immediately.
Related Links
SSI January 2026 Payment – Why Checks Arrive Early and How Much You’ll Receive
Quick Recap: Key Settlement Details
- Settlement Fund: $12.5 million
- Estimated Payout: $88–$147 per eligible claimant
- First Payment Date: Early 2026 (Direct Deposit)
- Eligibility Requirements: Washington residents who received unsolicited Cash App texts between Nov. 14, 2019 and Aug. 7, 2025
- Claim Deadline: October 27, 2025
Forward Look
As the settlement distribution process begins, Cash App users in Washington state who were impacted by unsolicited promotional messages will receive their settlement payments in 2026. These payments offer financial relief following the class-action lawsuit, but claimants must ensure they stay vigilant for scams during this period.
FAQs About Cash App $12.5M Settlement
Q: When will I receive my settlement payment?
A: Payments are expected to start in early 2026, with direct deposit first, followed by mailed checks.
Q: How much will I receive?
A: Payments will vary, with most claimants receiving between $88–$147 depending on the number of valid claims.
Q: Is this an extra payment or stimulus check?
A: No. This is part of a class-action settlement related to unsolicited marketing texts from Cash App.
