The Cash App $12.5M Settlement has quickly become one of the most talked-about consumer cases of 2025, especially among residents of Washington State who used the Cash App platform during the eligible period. For thousands of users who were frustrated by constant and unsolicited referral text messages, this settlement represents far more than a payout—it represents justice, accountability, and digital privacy finally being taken seriously. Even though the claim deadline of October 27, 2025, has now passed, eligible users continue to follow every update regarding when their payments will arrive and how the distribution process will unfold.
As conversations around the Cash App $12.5M Settlement spread nationwide, many Americans are seeing this as a strong example of how consumer rights can be protected even against major tech companies. Although the settlement itself does not require Cash App or Block Inc. to admit wrongdoing, it clearly acknowledges that user privacy cannot be dismissed or exploited for marketing gains. The following in-depth guide explains how the case began, the terms of the settlement, expected payouts, distribution timelines, and why this case is a landmark moment for consumer privacy laws.
How the Cash App $12.5M Settlement Began – The Case That Started It All
The origins of the Cash App $12.5M Settlement go back to a lawsuit known as Bottoms v. Block, Inc. In this case, plaintiffs argued that Cash App’s “Invite Friends” feature was aggressively sending text messages to individuals without their consent. These text messages were intended as referral invitations, promising Cash App users bonuses for bringing more people onto the platform. However, in many instances, numbers from users’ contact lists were accessed and used without permission.
Under Washington State’s strict consumer protection laws, and specifically the Telephone Consumer Protection Act (TCPA), sending marketing messages without express written consent is a serious violation. When several users realized the app had used their phone contacts to send unsolicited messages, they raised concerns—eventually leading to a class-action lawsuit.
Instead of fighting the case through a prolonged court battle, Block Inc. decided to settle. Although doing so without officially admitting fault, the Cash App $12.5M Settlement became a milestone case, reinforcing the importance of consent-based communication in the digital age.
Key Terms of the Cash App $12.5M Settlement
As part of the Cash App $12.5M Settlement, Block Inc. agreed to pay a total of $12,500,000, which will be used to cover several expenses:
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Compensation to eligible claimants
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Legal and administrative fees
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Service awards for the lead plaintiffs
The settlement covers individuals who lived in Washington State and may have received unwanted marketing messages between November 14, 2019, and August 7, 2025. It also includes those whose contact information may have been harvested without permission, regardless of whether they ever downloaded or used the Cash App application themselves.
A typical payout is estimated between $88 and $147, depending on how many valid claims were submitted before the October 27, 2025, deadline. As with most class-action settlements, the fewer the number of submitted claims, the larger the payout per person.
Why the Cash App $12.5M Settlement Matters
The Cash App $12.5M Settlement is far more than a financial settlement—it represents a legal acknowledgment of the importance of user privacy. With millions of Americans relying on financial apps and digital wallets, the case emphasizes that companies cannot exploit user data without consequences.
This settlement sends a direct message to app developers and tech companies:
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You must obtain permission before sending marketing texts.
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You cannot access or use contact lists without consent.
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Consumers have the legal right to be protected from digital intrusion.
For everyday users, it is a reminder that their data, privacy, and digital boundaries matter. The Cash App $12.5M Settlement has reinforced the importance of transparency and informed consent in an era dominated by rapid technology adoption.
How Much Money Will Claimants Receive?
The payout amounts in the Cash App $12.5M Settlement depend entirely on how many people submitted valid claims before the deadline. While early estimates suggest each user will receive between $88 and $147, the actual number will be finalized after administrative costs and attorney fees are deducted.
The formula is simple:
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Higher number of claims → lower per-user payout
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Lower number of claims → higher per-user payout
Final payout details will be released shortly after the Fairness Hearing, where the court must officially approve the settlement’s terms.
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Fairness Hearing – The Final Step Before Payments Begin
The Fairness Hearing is the most important step in the entire Cash App $12.5M Settlement process. During this hearing, the judge will review:
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Whether the settlement terms are fair
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Whether the payout distribution is reasonable
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Whether all legal obligations have been met
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Whether any objections have been raised
Once the judge grants approval, payments can begin immediately. If the court requests modifications or delays approval, the payout schedule may shift accordingly. Most class-action settlements take several months after approval to complete payment distribution.
Payment Timeline – When Will Claimants Be Paid?
Even though the claim period is closed, claimants continue to monitor updates closely. Once the Fairness Hearing approves the settlement, the final stages include:
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Administrative processing
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Verification of claim forms
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Fee deductions
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Final payout allocation
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Issuance of payments
Payments for the Cash App $12.5M Settlement will be made through the method chosen when the claimant filed:
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Direct Deposit
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Prepaid Debit Card
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Paper Check
Users should expect the entire process to take several months after approval, depending on court timelines and administrative volume.
What Claimants Should Do Now
Even though claiming is no longer possible, eligible individuals who already submitted a claim should:
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Keep their email and address information updated
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Ensure their bank account remains active if they selected direct deposit
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Save their claim confirmation number
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Visit BottomsTextSettlement.com for official updates
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Ignore scam messages claiming to speed up payouts
Keeping contact information current ensures there are no delays in processing payments related to the Cash App $12.5M Settlement.
How Payments Will Be Distributed
Once funds are released, class-action administrators will:
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Deduct attorney fees and court-approved administrative expenses
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Divide the remaining balance among all approved claimants
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Issue payments based on the chosen method
If a payment fails—for example, due to a closed bank account—funds may be reissued or handled according to court direction.
Impact of the Cash App $12.5M Settlement on Consumer Privacy
The Cash App $12.5M Settlement has set a powerful precedent in protecting consumer privacy, especially in financial apps. It reinforces that:
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Tech companies must respect digital consent
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Unsolicited messages are not just annoying—they are illegal
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Users have the right to control how their data is used
This case reminds companies that even popular platforms like Cash App must follow strict privacy regulations. Most importantly, it empowers everyday users to stand up for their digital rights.
Conclusion
The Cash App $12.5M Settlement represents a major win for consumers in Washington State and a significant moment for digital privacy law nationwide. Eligible users who submitted timely claims will soon receive their payouts, ranging between $88 and $147, depending on final court approval and the number of claims.
Even though the claim window is closed, this case will continue to influence future lawsuits, privacy legislation, and how financial apps operate. It proves that individuals can hold major tech companies accountable—and win.
FAQs (Updated)
Q. Who is eligible for the Cash App $12.5M Settlement?
Only Washington State residents who received unsolicited referral texts between November 14, 2019, and August 7, 2025.
Q. How much will claimants receive from the Cash App $12.5M Settlement?
Estimated payouts range from $88 to $147.
Q. Is the claim deadline still open?
No. The deadline closed on October 27, 2025.
Q. When will payments be issued?
Payments will be released after the court approves the settlement during the Fairness Hearing.
Q. How will the payments be delivered?
Payments will be sent via Direct Deposit, prepaid card, or a paper check.
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