Cash App users in Washington State could soon receive a payout following a $12.5 million settlement reached by the company’s parent organization, Block, Inc.
The settlement resolves allegations that Cash App violated state laws by sending unsolicited referral text messages through its “Invite Friends” program without obtaining user consent.
The settlement aims to compensate eligible residents who received unwanted messages between November 14, 2019, and August 7, 2025.
Understanding the Allegations
The lawsuit claimed that Cash App violated Washington’s Commercial Electronic Mail Act and Consumer Protection Act by facilitating text messages encouraging individuals to join the platform. These messages allegedly reached Washington residents without proper authorization, resulting in privacy concerns and legal action.
While Cash App denies any wrongdoing, the company chose to settle to avoid ongoing litigation costs and uncertainty.
Who Is Eligible for a Payout
Individuals may qualify for a settlement payment if they received an unsolicited referral text sent through Cash App’s “Invite Friends” feature during the designated period. Eligible claimants must also reside in the state of Washington.
If you meet both conditions, you can file a claim for compensation as part of this class action settlement.
How Much You Could Receive
According to settlement details, approved claims will result in payments between $88 and $147 per person. The exact amount will depend on the total number of valid claims submitted.
To qualify for payment, eligible users must submit a claim before October 27, 2025. Late or incomplete claims will not be accepted. Claimants will also need to verify their eligibility and confirm receipt of the promotional text message.
Background: Data Security and Privacy Obligations
Cash App, one of the most popular mobile payment platforms, allows users to send and receive money instantly, invest in Bitcoin and stocks, and access debit card services. Because it handles sensitive financial data, the company has an ongoing obligation to protect user information from unauthorized access, misuse, and fraud.
In recent years, financial technology companies have faced growing legal pressure to disclose how they collect, share, and store customer data. Transparency about data use has become a critical compliance issue, particularly as regulators strengthen consumer protection standards.
Previous Cash App Settlement
This is not the first legal challenge Cash App has faced in recent years. Earlier in 2025, the company agreed to a $15 million settlement following a 2022 data breach that exposed user information. That case alleged that Cash App failed to implement adequate cybersecurity safeguards, leaving users vulnerable to identity theft and financial loss.
Together, these settlements underscore the increasing importance of data security and consumer privacy in the financial technology industry.
How to File a Claim
Eligible claimants can submit their claims online through the official settlement website. The form requires basic information such as contact details, confirmation of Washington residency, and proof of receiving an unsolicited Cash App referral text.
Claimants must submit all required documentation by October 27, 2025. Once the claims are reviewed and approved, payments will be distributed based on the final number of valid submissions.
It’s important to note that knowingly submitting a false or fraudulent claim can result in disqualification or potential legal consequences. Only legitimate claimants who meet the eligibility criteria will receive payments.
The Bigger Picture: Data Privacy and Legal Accountability
The Cash App settlement highlights the ongoing tension between technology convenience and consumer privacy. As financial apps increasingly collect and process personal data, users expect transparency and accountability from service providers.
Legal actions like this one remind companies of their responsibility to maintain robust data protection systems and communicate clearly about how customer information is used. Regulators are also becoming more aggressive in enforcing privacy and consent requirements to protect consumers in the digital marketplace.
Similar Cases: Amazon’s FTC Settlement
Cash App is not alone in facing scrutiny over privacy practices. Recently, Amazon.com, Inc. reached a landmark $1.5 billion regulatory settlement with the Federal Trade Commission (FTC) after allegations that the company enrolled users into Amazon Prime without consent.
The agreement includes $1.5 billion in consumer relief and a $1 billion civil penalty, marking one of the largest consumer protection settlements in history.
Together, these high-profile cases illustrate how digital companies—whether in e-commerce or financial technology—are being held accountable for violating consumer consent and privacy protections.
Why This Settlement Matters
The $12.5 million Cash App settlement reinforces the importance of corporate responsibility in safeguarding consumer rights. It also sends a message to technology and financial firms that privacy violations can carry significant financial and reputational consequences.
For users, it serves as a reminder to monitor communications and understand how their personal data is being used. By filing claims before the deadline, eligible individuals can receive compensation and contribute to broader efforts promoting digital accountability and data protection.
FAQs
What is the Cash App $12.5 million settlement about?
The settlement resolves claims that Cash App’s parent company, Block, Inc., violated Washington’s Commercial Electronic Mail Act and Consumer Protection Act by sending unsolicited referral text messages through its ‘Invite Friends’ program. Cash App denies wrongdoing but agreed to pay $12.5 million to settle the case.
Who is eligible to receive money from the Cash App settlement?
You may be eligible if you received an unsolicited Cash App referral text between November 14, 2019, and August 7, 2025, and you are a resident of Washington State.
How much money can eligible users receive?
Approved claimants will receive a payment between $88 and $147, depending on the number of valid claims submitted. The final payout amount will vary based on participation.
When is the deadline to file a claim?
Eligible users must file a claim by October 27, 2025, to qualify for payment. Late submissions will not be accepted.
How do I file a claim for the Cash App settlement?
You can file a claim online through the official Cash App Settlement website. You’ll need to confirm that you received an unsolicited referral text and provide proof of Washington residency.
Does this settlement affect other Cash App lawsuits?
No. This $12.5 million settlement is separate from the $15 million class action related to Cash App’s 2022 security breach. Each settlement covers different issues.
Why did Cash App agree to settle?
Cash App chose to settle to avoid prolonged litigation costs and uncertainty. The company denies violating any laws but agreed to compensate affected users to resolve the case efficiently.
Speaking about what and send this and that but still trying to keep the people down while they stay rich! 🗣Donald Trump and everyone else including cash app Amazon need to stop playing with the people and pay us what they owe because they know that our data has been leaked through there companies of our information and they need to pay us what they owe us! For they will not get away with it because God the creator sees everything and he will make sure that his people are taken care of! How do we have a co called president with a felonies and a person out here can’t even receive a regular job to take care of themselves and he’s allowed to be president to f up a lot of peoples lives! What the wicked has has is laid up for the righteous in Jesus Christ name amen
Can. I. Julie