In an era where digital payments and mobile finance apps are deeply woven into daily life, consumer privacy has become a growing concern. Promotional messages, referral texts, and automated marketing are common—but they must follow clear consent rules. The recently approved $12.5 million Cash App settlement brings this issue into focus, offering compensation to a specific group of users while reinforcing stronger standards for digital communication.
Final approval for this settlement was granted on December 2, 2025, resolving claims against Block, Inc., the parent company of Cash App. If you filed a claim on time, payments are now on the horizon. Here is a clear, detailed breakdown of what the settlement covers, who qualified, and what to expect next.
What the Cash App $12.5 Million Settlement Is About
The case, formally titled Bottoms v. Block, Inc., centered on allegations that Cash App facilitated unsolicited promotional text messages through its “Invite Friends” referral feature. According to the lawsuit, some Washington residents received these referral texts without providing proper prior consent, potentially violating state privacy and consumer protection laws.
The claims cover messages sent between November 14, 2019, and August 7, 2025. While Block, Inc. denied any wrongdoing or legal violations, the company agreed to the $12.5 million settlement to avoid the uncertainty, cost, and time associated with extended litigation. Importantly, the settlement does not represent an admission of liability—it is a resolution designed to close the matter and compensate eligible consumers.
Who Was Eligible for a Cash App Settlement Payment
This was not a nationwide settlement. Eligibility was limited to a clearly defined group of individuals, based on location and circumstances.
Core Eligibility Requirements
To qualify as a class member, all of the following conditions had to be met. You must have been a resident of Washington state at the time you received the text message. You must have received one or more Cash App referral or promotional texts during the eligible period. You must not have provided clear, prior consent to receive those promotional messages.
Settlement administrators rely primarily on Cash App’s internal records to verify eligibility. In most cases, claimants were not required to submit screenshots or personal message logs.
Who Was Excluded
Certain groups were excluded from the settlement, including employees of Block, Inc., members of the judiciary involved in the case, and individuals who formally opted out of the class action. Anyone who failed to submit a claim by the deadline was also excluded from receiving compensation.
Estimated Payout Amounts and How They Are Calculated
One of the most common questions surrounding the settlement has been about payment size. While no fixed amount was guaranteed, estimates were provided based on expected participation.
Expected Compensation Range
Approved claimants are expected to receive between $88 and $147 each. This range is an estimate and depends on the total number of valid claims submitted. If fewer people filed claims, each approved claimant’s share increases. If more claims were approved, individual payments move toward the lower end of the range.
How the Settlement Fund Is Distributed
The $12.5 million fund covers more than direct payments. Administrative expenses, legal fees, and court-approved costs are deducted first. The remaining net settlement amount is then divided equally among all approved claimants. Payments are not tiered by the number of messages received—each valid claimant receives the same share.
Claim Deadline and Current Status of the Case
The deadline to submit a claim was October 27, 2025. That deadline has now passed, and late claims are not being accepted under any circumstances.
Final approval of the settlement occurred on December 2, 2025. As of December 26, 2025, the settlement is fully approved and moving into the distribution phase. If you submitted a valid claim before the deadline, no further action is required unless you are contacted for clarification or correction.
When and How Payments Will Be Sent
Distribution of settlement payments typically begins after final approval and completion of administrative processing. For this case, payments are expected to begin in early to mid-2026.
Claimants will receive their payments using the method selected during the claim process. Available options included mailed checks, direct deposit, or approved digital payment methods. Notification emails or mailed notices will be sent as payments are prepared and released.
Processing timelines can vary, so patience is important. Settlement distributions often occur in batches rather than all at once.
What to Do If You Filed a Claim
If you believe you qualified and submitted a claim on time, the best next step is to monitor official updates. Visit the settlement’s official website to check for payment announcements or deficiency notices. If administrators require additional information, they will contact you using the details you provided during filing.
Avoid relying on social media posts, unofficial emails, or third-party websites. Settlement-related scams are common, especially as payment dates approach. Legitimate communications will direct you only to the official settlement administrator.
Why This Settlement Is Important Beyond the Payment
While the individual payments are modest, the broader impact of the Cash App settlement is significant. It reinforces the principle that digital platforms must respect consumer consent, even when marketing tools are built into peer-to-peer apps. Referral systems, promotional texts, and automated invites are not exempt from privacy laws.
For fintech companies, the case serves as a reminder that growth strategies must align with evolving consumer protection standards. For consumers, it highlights the value of privacy rights and the power of class actions to enforce them.
Conclusion
As of late December 2025, the $12.5 million Cash App settlement is fully approved, with payments expected to begin in 2026 for eligible Washington residents who filed claims on time. While the opportunity to file a claim has closed, approved claimants can now look ahead to receiving compensation for unsolicited referral texts received in past years. This case stands as a meaningful example of how consumer privacy protections continue to shape the digital finance landscape, turning everyday frustrations into enforceable rights and real-world outcomes.