In 2025, Capital One bank took a significant step—that same year, the bank agreed to a $425 million class-action settlement following a major 2019 data breach and related lawsuits from investors. The settlement aims to provide relief to millions of customers whose private and sensitive information was exposed online due to the hacking incident. If you ever opened a Capital One credit card or savings account between 2015 and 2019, you may be eligible for this settlement.
The Major Data Breach: What Happened?
In 2019, a cyberattack on Capital One’s cloud system resulted in the leak of information belonging to over 100 million people—including Social Security numbers, credit scores, bank account details, and more. This incident impacted the security, privacy, and financial well-being of millions of families. The bank was also accused of misleading customers while promoting its 360 Savings account, displaying higher interest rates than what was actually offered, while a newer product, the 360 Performance Savings account, offered higher returns. According to an investigation by the US Consumer Financial Protection Bureau, these misleading practices resulted in customers losing up to two billion dollars in interest.
The $425 Million Settlement: Who Gets What?
1. Cash Payments ($300 million)
Customers who held a Capital One 360 Savings account between September 18, 2019, and June 16, 2025, will be directly entitled to this amount. The bank will make direct payments to their accounts based on the difference between the deposited amount and the interest rate—meaning customers will receive compensation for the interest they lost in the past.
2. Additional Interest ($125 million)
Customers who still have money in their 360 Savings accounts will receive additional interest going forward—to compensate for past losses. If you close your account by October 2, 2025, you will be entitled to approximately 15% more in settlement funds.
Eligibility Requirements
- Your Capital One 360 Savings account must have been open between September 18, 2019, and June 16, 2025.
- Eligible customers will be automatically included in the settlement; no separate claim form is required.
- You must update your payment option on the official settlement website by October 2, 2025.
- Payments can be received electronically or by check.
- If you wish to opt out of the settlement or pursue your case separately, you must do so by October 2, 2025.
How Much Will I Receive?
The amount each customer receives under the settlement will depend on their account balance and the difference between the old and new interest rates. The average payment will be calculated based on the difference between past earnings and potential returns. Customers who closed their accounts by October 2, 2025, will receive an approximately 15% increased payment.
Fund Details:
| Category | Amount (USD) | Purpose |
|---|---|---|
| Cash Fund | $300 million | Direct cash payouts to affected customers |
| Interest Adjustment Fund | $125 million | Additional interest for ongoing account holders |
| Total | $425 million | Compensation for all affected customers |
Important Dates
- October 2, 2025: Deadline to change payment options or opt out of the settlement.
- November 6, 2025: Final court hearing and settlement approval.
- Early 2026: Settlement payments begin.
How to Claim Your Payment?
Capital One or the settlement administrator will directly notify eligible customers. To check your claim and update your payment settings:
- Log in to the website/link provided by Capital One.
- Update your payment option and verify your eligibility.
- Beware of any third-party, unofficial sites or spam—only use the official website.
Conclusion
Capital One’s $425 million class-action settlement is a significant relief for millions of customers whose information or hard-earned money was compromised in the 2019 data breach or misleading interest rate practices. The settlement, which includes payments, inflated interest compensation, and automatic eligibility without a claim form, serves not only as a warning to the banking industry but also underscores the importance of customer protection in the digital age. If you are eligible, update your information before October 2, 2025, be sure to claim your rights, and remain vigilant when conducting digital banking in the future.
FAQs
Q. Who is eligible for the Capital One settlement payment?
A. Customers who held a Capital One 360 Savings account between September 18, 2019, and June 16, 2025, are automatically eligible for payment.
Q. How much money will eligible customers receive?
A. The payment depends on the account balance and the difference in interest rates, with an average payment including additional incentives if the account is closed by October 2, 2025.
Q. What is the deadline to update payment preference or opt out?
A. October 2, 2025, is the last date to update payment details or choose to opt-out of the settlement.
Q. When will the settlement payments begin?
A. Payment distribution is expected to start in early 2026 after the final court hearing scheduled for November 6, 2025.
Q. How can customers claim or check their payment status?
A. Eligible customers will be notified by Capital One or the settlement administrator and can manage or check claims on the official settlement website.
