Cash App, one of the most widely used peer-to-peer payment platforms in the United States, has reached a $12.5 million class action settlement connected to the sending of unwanted promotional text messages. These messages were linked to Cash App’s referral (“invite friends”) feature and were allegedly sent without proper consent.
The settlement prioritizes consumer privacy and anti-spam protections, particularly in accordance with Washington state law. Many recipients reported receiving repeated promotional texts encouraging them to download or join Cash App, even though they had never signed up for marketing messages or shared permission to be contacted.
Under the approved settlement, eligible Washington residents who submitted valid claims may receive a cash payment ranging from approximately $88 to $147. The exact amount depends on the number of approved claims and how the settlement fund is ultimately divided after expenses.
Federal court approved a $12.5 million Cash App settlement on December 3, 2025, joining a previously approved $15 million data breach settlement from January 2025. Combined, these settlements total nearly $28 million for affected Cash App users. pic.twitter.com/e1em8Yo2ry
— All About Lawyer (@allaboutlawyer) December 6, 2025
Table of Contents
Why Cash App Faced a Lawsuit
The lawsuit, Bottoms v. Block, Inc., was filed after allegations that Cash App’s referral system allowed users to send promotional texts to their contacts without obtaining consent. These texts were automatically generated and framed as personal invitations but carried promotional intent.
Washington State has strict consumer protection rules governing commercial electronic messages. The plaintiffs argued that Cash App benefited from these texts because they promoted app downloads and usage, even though recipients may not have agreed to receive marketing content. These allegations formed the basis of the legal complaint.
Cash App and its parent company, Block Inc., denied violating any laws. However, rather than continue lengthy litigation, the company agreed to settle. Settlements of this nature are common when companies seek to limit financial risk while avoiding ongoing court proceedings.
Details of the Cash App Spam Text Settlement
The settlement fund was created to compensate individuals affected by the alleged spam texts. Before payments are issued, funds are reduced by court-approved attorney fees, administrative costs, and service awards.
| Settlement Item | Details |
|---|---|
| Total Settlement Amount | $12.5 million |
| Covered Text Type | Cash App referral/invite texts |
| Eligible Period | Nov 14, 2019 – Aug 7, 2025 |
| Estimated Individual Payment | $88 to $147 |
| Final Court Approval | December 2025 |
Individual payments are not guaranteed at the maximum amount. If many claims are approved, each person’s share may be smaller. If fewer claims qualify, payouts may be closer to the higher end of the estimate.
Who Was Eligible for a Payment
Eligibility was strictly defined to ensure only affected individuals received compensation. Claimants needed to confirm both the receipt of the text and their Washington residency at the time.
Eligibility Conditions List
- Received a Cash App referral or promotional text message
- Was a Washington state resident when the text was received
- Did not provide clear prior consent to receive marketing texts
- Submitted a valid claim form before the deadline
People who only used Cash App and never received these texts were excluded. Likewise, individuals who failed to submit a claim by the deadline are not entitled to any payment.
Claim Process and Important Deadlines
The claim process required individuals to submit a claim form. This form could be completed online or mailed to the settlement administrator. Claimants had to provide accurate contact details and certify the information under penalty of perjury.
In addition to filing claims, class members had the right to opt out or object to the settlement terms. Opting out preserved the right to pursue individual legal action but eliminated eligibility for settlement payment.
Important Dates and Actions Table
| Event | Date |
|---|---|
| Claim Submission Deadline | October 27, 2025 |
| Opt-Out/Objection Deadline | October 27, 2025 |
| Final Approval Hearing | December 2, 2025 |
| Payment Distribution | After final approval |
Once the court granted final approval, the settlement became binding on all class members who did not opt out.
How Payments Are Being Sent
Payments are disbursed after final approval via the methods selected by claimants during submission. The settlement administrator is responsible for verifying claims and issuing payments.
- Direct deposit to a bank account
- Prepaid debit card
- Paper check mailed to the claimant
If payment details are incorrect or a transaction fails, administrators may attempt redelivery in accordance with settlement rules. Processing timelines can vary by payment method.
What This Settlement Means for Consumers
This settlement points out the importance of obtaining consent in digital marketing and mobile communications. It demonstrates that even referral messages can be subject to consumer protection laws when they promote a business and are sent to recipients without their authorization.
The case strengthens the legal protections that already exist for people against unwanted text messages. For businesses, it serves as a clear warning that referral and marketing practices must fully comply with both state and federal communication regulations, particularly when handling personal contact information.
Would like to know if i'm eligible cash app deleted two of my cash apps where I couldn't send my sister or my friend money that they needed for save.
I want if I am eligible.
I want my settlement money deposited in my Cashapp account
Them funds will come n handy