$147 Payment for Everyone – Cash App Agrees to $12.5M Settlement Over Spam Text Class Action

Introduction: The digital age is here, and with it mobile payments and online transactions are now common. Millions of users perform their daily monetary transactions on the most famous platforms, namely Cash App. A recent lawsuit against Cash App alleged that it initiated unsolicited spam text messages, which has been a class action this matter is now behind them, as the company has decided to settle for $12.5 million. Depending on the settlement, eligible users will receive a direct payment of up to $147.

In this article, we will discuss in detail what this case was about, who is eligible for this payment, how to apply, and when the money will be received.

What is Cash App, and why did this case arise?

Cash App is a very popular mobile payment application used by millions of Americans daily to send and receive money, buy stocks, and trade Bitcoin However, in recent years, many users complained that they were receiving spam text messages from Cash App or an associated third party urging them to click on offers, promotions, or links Many claimed they had never given their consent for these messages. This led to the case being filed under the Telephone Consumer Protection Act (TCPA) which prohibits unsolicited promotional messages.

How did the case reach court?

• The lawsuit alleged that Cash App or its promotional agents sent messages to users through an automated system for marketing purposes.
• This action violated the TCPA law, which clearly states that sending advertising or promotional messages to any consumer without their consent is illegal.
• Several users filed a lawsuit together, known as a class-action lawsuit—meaning this lawsuit was filed not just on behalf of one individual but on behalf of all affected users.

What was decided in the settlement?

• Cash App has decided to settle for $12.5 million (approximately ₹104 crore) to avoid a lengthy legal battle in court.
• This amount will be distributed to affected users, with each user potentially receiving up to $147, although the final amount will depend on the number of people who file a claim.
• The company did not admit to any wrongdoing but agreed to the settlement to avoid further legal complications.

Who is eligible for this $147 payment?

This payment is for users who meet the following conditions:

• Those who received unsolicited promotional text messages from Cash App or its related companies.
• Those who received these messages during the TCPA period (the specified timeframe)—that is, during the period when the complaints were filed.
• Those who will legitimately file their claim by visiting the Class Action Settlement website.
• Should you have received a Cash App message that mentions offers, bonuses, or links, you are likely also entitled to this payment.

What is the deadline to file a claim?

Though the official deadline has not been set on the official website, such settlements generally allow users a period of 60–90 days to file a claim Thus, applying as soon as the website goes live is advised to avert delays in payment processing.

What is the claim process?

If you wish to partake in this class action settlement, you will need to fill out an official claim form. The process is simple:

• Go to the settlement website (the link will be released after the official announcement).
• Input your name, email, and phone number.
• Provide proof that you received spam messages related to Cash App (such as screenshots or message logs).
• Submit the form and receive a confirmation in your email.
• Sometimes, if the data is already verified, you don’t need to provide proof—just confirm your information.

How will I receive the payment?

• Payments under the settlement can be made via direct deposit, PayPal, Venmo, or mailed check.
• Users will receive payment through the method they select on the application form.
• The company aims to complete the payment process by the first quarter of 2026.

Important Points to Note

• Many fake websites or fraudulent links appear in such cases, asking people for their bank details.
• If a website asks you for a fee or your Social Security number, be cautious—it could be a scam.
• Therefore, when applying, only use the official settlement website or the link provided by the class action administrator.

Cash App’s Response

• Cash App has issued a statement on this matter, stating that the company prioritizes the privacy and data security of its users.
• Although it did not admit to any wrongdoing, it did acknowledge that user complaints were taken seriously.
• The company says it has made changes to its marketing system to prevent such incidents in the future, and now user consent will be obtained beforehand for all promotional messages.

Why are such class action cases increasing?

• The number of such class action lawsuits in the US has increased significantly in recent years.
• This is because people are now more aware of their data privacy and digital rights.
• Whether it’s the Facebook data leak case, the Google location tracking controversy, or now the Cash App spam text case all show that users are more vigilant about their online privacy than ever before.

How will the $12.5 million be distributed?

• Of the total settlement amount of $12.5 million, a portion will go towards administrative costs, legal fees, and court approval.
• The remaining amount will be distributed among all eligible users who have filed a valid claim.
• Let’s say 60,000 users are found eligible; then each will receive approximately $147.
• If the number of claims increases, the amount may decrease slightly, but everyone will receive a payment.

Conclusion

This $12.5 million settlement by Cash App is good news for users If you also received any promotional messages from Cash App without your consent, you may also be eligible for a $147 payment This is not just one case but a precedent—that even the biggest tech companies must respect user privacy When this payment is issued in 2026, it will show that in the digital age, the voice of justice can reach not only the courts but also every user’s mobile screen.

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