Cash App users across the United States should take notice of a recent legal development that could put money back in their pockets. A class-action lawsuit accusing Cash App of sending unsolicited promotional text messages has resulted in a $12.5 million settlement, and eligible users may receive up to $147 each.
This settlement shines a spotlight on increasing regulatory pressure surrounding digital payment apps and reinforces the importance of consumer privacy rights in an era dominated by mobile banking and fintech platforms. Below is a complete breakdown of what happened, who qualifies, and how affected users can claim their payment.
Why Cash App Agreed to the Settlement
The lawsuit alleged that Cash App violated federal consumer protection laws by sending promotional and marketing text messages without proper user consent. According to the complaint, millions of users received texts advertising new features, referral bonuses, and other offers—even if they had never opted in to receive marketing communications.
Plaintiffs argued that these messages breached regulations such as the Telephone Consumer Protection Act (TCPA), which strictly limits unsolicited automated or promotional text messages. These laws are designed to protect consumers from spam, privacy violations, and unwanted digital interruptions.
Rather than continue a lengthy and costly court battle, Cash App chose to settle the case. Importantly, the settlement does not mean the company admitted wrongdoing, but it allows the matter to be resolved while compensating affected users.
Who Is Eligible to Receive the $147 Payment?
Not all Cash App users will qualify. To be eligible for compensation, individuals must meet all of the following conditions:
– You received one or more unsolicited promotional or marketing text messages from Cash App
– The messages were sent between 2019 and 2025
– You were a U.S. resident at the time the texts were received
– Your Cash App account was active and linked to the same phone number that received the messages
Eligible claimants may receive approximately $147, although the final amount could vary slightly depending on how many valid claims are submitted.
Payments will be issued either:
– Directly to your Cash App balance, or
– As a mailed paper check, depending on the option selected during the claims process
How to File a Claim and Get Paid
Claiming your payment is simple and does not require legal assistance. Here’s how to do it:
1. Confirm Eligibility
Review your text message history to verify whether you received promotional texts from Cash App during the eligible time period.
2. Complete the Official Claim Form
Fill out the settlement’s claim form with your name, contact details, and the phone number associated with your Cash App account.
3. Choose Your Payment Method
Select either direct deposit to your Cash App account or a mailed check.
4. Submit Before the Deadline
Claims must be submitted before the official cutoff date. Late or incomplete claims may be rejected.
Important: The claims process is completely free. Be cautious of third-party services or websites that ask for payment to file on your behalf.
Why This Settlement Is Important
This case carries broader implications beyond the payout itself:
Stronger Consumer Protection
It reinforces that fintech companies must follow communication and privacy laws just like traditional financial institutions.
Accountability for Digital Platforms
Even large, popular apps can face consequences for ignoring user consent or marketing preferences.
Industry-Wide Impact
The settlement may encourage other digital payment platforms to tighten compliance, improve transparency, and reduce unsolicited outreach.
For users, it’s a reminder that privacy laws exist to protect them—and that legal action can lead to real financial compensation.
Key Takeaways for Users and Businesses
For Users:
– Regularly review app notification and marketing settings
– Save evidence of unsolicited messages
– Report spam texts to appropriate consumer protection agencies
For Businesses:
– Always obtain clear, documented consent before sending promotional texts
– Maintain accurate communication records
– Prioritize transparency to avoid reputational and legal risks
Responsible digital communication benefits both consumers and companies in the long run.
Final Summary
The $12.5 million Cash App settlement over unsolicited text messages highlights the growing importance of digital privacy and consumer rights. Eligible users who take action can receive up to $147, demonstrating how class-action lawsuits can deliver tangible benefits to everyday consumers.
If you believe you qualify, submitting a claim before the deadline ensures you don’t miss out. This case also serves as a valuable reminder for users to stay informed—and for companies to respect consent in every interaction.