What this Cash App $12.5M agreement means
Cash App agreed to a $12.5 million settlement to resolve claims that certain marketing text messages were sent to people without proper consent. Eligible recipients can claim a payment of about $147 each under the proposed deal.
This article explains who may qualify, why $147, and what steps recipients should take to file a claim and protect their rights.
Background: Why the settlement happened
The case centers on automated or unsolicited text messages allegedly sent to consumers to promote Cash App. Plaintiffs argued the texts violated federal and state rules governing automatic calls and text messages, including the Telephone Consumer Protection Act (TCPA).
Rather than a trial, the parties reached a settlement to avoid ongoing legal costs and uncertainty. The agreed fund of $12.5 million will be used to pay claimants, administrative expenses, fees, and any leftover distribution rules.
$147 for spam text recipients: who gets paid
Not everyone who ever received a Cash App text will qualify. Typical eligibility rules in these settlements include:
- Receiving one or more marketing or promotional text messages during a defined class period.
- Having a U.S. phone number that received the messages.
- Not being an excluded party, like an employee of the defendant or a judge involved in the case.
Settlement administrators will provide a claim form and list of qualifying message timeframes. Claim verification often relies on message records and the claimant’s attestation under penalty of perjury.
How the $147 amount was calculated
The $147 per claimant is a net estimate after the settlement fund pays administrative costs and attorneys’ fees. The precise payout may vary based on:
- Number of approved claimants
- Administrative costs for processing claims
- Court-approved attorney fees and incentive awards
If many people file claims, the per-person payout could be reduced. Conversely, if fewer valid claims are approved, payouts could be higher than the initial estimate.
How to file a claim and important deadlines
Follow these practical steps when a settlement notice is issued:
- Read the official settlement notice carefully to confirm eligibility windows and required documents.
- Visit the settlement website listed in the notice. This is where the official claim form will be hosted.
- Submit the claim by the posted deadline and include any requested evidence (phone number, screenshots, or message logs if asked).
- Keep copies of your submission and any confirmation emails.
Missing the filing deadline usually means you forfeit any right to a payout. Watch for official emails or mailed notices with claim deadlines and instructions.
Under the TCPA, consumers can sometimes recover statutory damages for unwanted marketing texts even if they suffered no other financial loss. Settlements often provide a fixed cash payment to resolve many individual claims at once.
Practical tips to confirm your claim
Claim verification may require minimal evidence. Use these tips to prepare:
- Gather phone records, text message screenshots, or carrier logs showing the message date and sender.
- Save the notice you received and any tracking information provided after filing.
- Use a personal email for submissions—keep email confirmations in a dedicated folder.
What to watch out for
Be cautious of scams during settlement periods. Official notices will come from the court, the defendant’s attorneys, or a settlement administrator. Never pay to file a claim.
If you get unsolicited calls about the settlement, verify the caller independently through the settlement website or court filings before sharing personal information.
Real-world example: A small claim case study
Maria received three marketing texts promoting Cash App in 2022. When she got a mailed notice about the settlement, she followed the steps listed on the settlement website. She submitted her phone number, a screenshot of one text thread, and an attestation of receipt.
After the claims deadline, Maria received a notice that her claim was approved. The settlement distributed a single payment of approximately $147 to her bank account within a few weeks of approval.
What you can do now
If you think you received qualifying texts, find the official settlement notice and read the eligibility rules. Mark deadlines, gather supporting evidence, and file a claim promptly.
If you are unsure whether a text qualifies, check the settlement website or consult a consumer protection attorney for clarification. Many settlement sites also provide FAQs and examples of qualifying messages.
Frequently asked questions about the settlement
Will I automatically get paid?
No. Eligible people must file a claim and have it approved by the settlement administrator. Automatic direct payments are uncommon unless the administrator has verified contact information.
Can I opt out and sue separately?
Yes. Class members who opt out preserve the right to pursue individual claims in court. Opting out is a formal process and must be done by the deadline in the settlement notice.
What if I don’t want the payment?
If you do not want to participate, you can usually opt out by following the instructions in the notice. Opting out excludes you from the settlement payouts but leaves you free to pursue your own litigation.
Final takeaway
The Cash App $12.5M agreement offers a clear path for consumers who received unsolicited marketing texts to claim a payment around $147. Act quickly, verify eligibility, and avoid third-party scams.
Careful documentation and following the settlement instructions are essential for receiving any payout.