Ever get a random text from Cash App inviting you to refer a friend? That message might now be worth up to $147. In an unexpected turn, Cash App’s parent company has agreed to a $12.5 million settlement over unsolicited referral texts sent to Washington state residents since November 2019. As a result, nearly 2 million users may be eligible for a payout. Keep reading to find out if you qualify for a share of the settlement.
What Sparked the Cash App Settlement?
The $12.5 million Cash App settlement traces back to a lawsuit filed in November 2023 by Washington resident Kimberly Bottoms. According to the complaint, Cash App’s parent company, Block Inc., allegedly sent unsolicited promotional texts as part of its “Invite Friends” referral campaign. The messages were said to violate two key state laws: the Washington Consumer Electronic Mail Act and the Washington Consumer Protection Act. Although Block has not admitted to any legal wrongdoing, the company agreed last month to settle the case and put the matter to rest.
Who’s Eligible for a Piece of the Settlement?
Not everyone is in line for the Cash App payout. The settlement applies specifically to Washington state residents who received unsolicited promotional texts from the app’s “Invite Friends” program starting on or after November 14, 2019. While the exact cutoff date hasn’t been disclosed, eligibility will be determined using phone record data. According to CNET, Block Inc. plans to notify qualifying individuals by email or physical mail. Early estimates suggest up to 2 million people may be included in the payout class.
How Much Money Could You Get?
The amount you could receive from the Cash App settlement isn’t fixed—it depends on how many eligible users file a valid claim. If all 2 million potential class members participate, individual payouts are expected to range between $88 and $147. The fewer the claims submitted, the higher the payout per person could be.
How to Claim Your Cash App Settlement
As of now, no official claim form or submission deadline has been released. However, those who are eligible should keep an eye out for an official notice from Block Inc., which will likely arrive by email or traditional mail. Once the claims process opens, acting quickly will be key—so be sure to respond promptly when the window goes live.
Other Cash App Legal Disputes You Should Know About
The recent $12.5 million spam-text settlement is just one chapter in a broader pattern of legal troubles for Cash App’s parent company, Block Inc. The platform has come under increasing scrutiny for a range of issues, including user data protection and transaction oversight. In 2024, Block paid $15 million to resolve a separate class-action lawsuit involving allegations of data misuse. That same year, the company was hit with a staggering $175 million in penalties from the Consumer Financial Protection Bureau over security failures that potentially exposed users to fraud and unauthorized access.
Sources: CNET, The Economic Times