If you held a Capital One 360 Savings account in recent years, there is a good chance you are owed money from the Capital One $425M Class Action Settlement. This settlement stems from two major issues that affected millions of customers: a massive 2019 data breach and misleading interest rate practices involving their savings accounts. Capital One is now paying out hundreds of millions in compensation, and if you qualify, the deadline to claim your share is approaching fast.
The Capital One $425M Class Action Settlement is designed to refund both past customers and those still banking with Capital One. It includes cash payouts and adjusted interest payments to make up for financial harm caused between 2019 and 2025. This article walks you through who qualifies, how much you might receive, important deadlines, and how to safely claim your payment before time runs out.
Capital One $425M Class Action Settlement: Key Info You Need to Know
The Capital One $425M Class Action Settlement is a significant legal outcome addressing two major consumer complaints: the 2019 data breach and misleading savings account interest rates. Over 100 million customers had their personal data compromised in the breach, while many also lost out on higher interest earnings due to Capital One promoting its 360 Savings accounts as competitive, despite offering lower rates than the newer 360 Performance Savings accounts. The settlement allocates $300 million for direct cash payments and $125 million for interest adjustments. Eligible customers held a 360 Savings account between September 18, 2019, and June 16, 2025. To receive your compensation, you must update your payment details by October 2, 2025. Both current and former account holders may qualify.
Overview Table: Capital One $425M Class Action Settlement
| Category | Details |
| Total Settlement Amount | $425 million |
| Cash Payout Fund | $300 million |
| Interest Adjustment Fund | $125 million |
| Eligibility Period | September 18, 2019 to June 16, 2025 |
| Deadline to Update Info | October 2, 2025 |
| Bonus for Closed Accounts | 15 percent more than ongoing accounts |
| Final Approval Hearing | November 6, 2025 |
| Payment Distribution Date | Expected early 2026 |
| Claim Form Required | No (automatic if eligible) |
| Official Website | To be announced through Capital One notification |
Why Was Capital One Sued?
This class action lawsuit was filed because of two major problems. First, in 2019, Capital One experienced a data breach that compromised personal details of over 100 million customers, including Social Security numbers, credit scores, and account information. This breach exposed customers to serious risks like identity theft and financial fraud.
Second, Capital One was accused of falsely advertising its 360 Savings account as offering competitive interest rates. In reality, customers were earning significantly less compared to the newer 360 Performance Savings account. These misleading practices caused many customers to lose out on potential earnings, triggering widespread complaints and eventually a federal investigation.
Capital One Settlement 2025 Overview
The settlement is intended to correct those past wrongs. Out of the total $425 million, $300 million is set aside for direct cash payments to affected customers. These payments will reflect how much interest customers should have earned during the eligibility period.
The remaining $125 million is for current account holders. They will receive increased interest moving forward to help make up for the lower returns they received previously. Whether you closed your account or kept it open affects how you will be paid, but both groups are included in the agreement.
Terms of the $425 Million Settlement
There are two options for compensation under the Capital One $425M Class Action Settlement. If you still have an active 360 Savings account, you will receive interest adjustments over time. If you decide to close your account by October 2, 2025, you will get a lump-sum cash payment instead. That lump sum is estimated to be about 15 percent higher than what ongoing customers will receive, giving you an incentive to exit the program if you prefer an immediate payout.
This structure is meant to be fair for both past and current customers, based on how much you lost in interest over the years.
Eligibility Criteria for Settlement Payments
To be eligible for compensation, you must have had a Capital One 360 Savings account at any point between September 18, 2019, and June 16, 2025. There is no need to fill out a claim form if you meet this requirement. You are already included in the settlement automatically.
However, you must update your payment preferences on the official settlement website by October 2, 2025. You can choose to receive your payment by electronic deposit or paper check. If you do nothing, you risk delays or missing your payment entirely. Anyone who prefers to opt out and take separate legal action must also do so by that same date.
How Much Will Each Claimant Receive?
Your payment will depend on how much money you had in your account during the eligibility period and how long it was there. The more you had on deposit and the longer you kept it, the higher your payout. The calculation will compare what you earned against what you should have earned if your money had been in the higher-yield 360 Performance Savings account.
If you close your account before the deadline, your payment will include an additional 15 percent bonus to reflect your early withdrawal from the program. While there is no fixed amount yet, payments are expected to range widely based on individual account activity.
Timeline and Important Dates
If you are eligible, here are the key dates to remember:
- October 2, 2025: Deadline to update your payment info or opt out of the settlement.
- November 6, 2025: Court hearing for final approval of the settlement.
- Early 2026: Payments are expected to be distributed after court approval.
To avoid missing out, act before the October deadline. Even if your account is closed, you can still receive a one-time payment.
Legal and Public Reactions
While the settlement has been welcomed by many affected customers, it has not been without criticism. Several state attorneys general, including New York’s Letitia James, believe the deal does not go far enough. They argue that Capital One should be held more accountable and that the terms may be too lenient. These concerns were raised in a legal brief urging the court to take a closer look.
Despite the opposition, the court is expected to move forward with approval. Until then, customers are advised to take steps now to secure their share of the compensation.
How to Claim or Check Your Payment
If you are eligible, you will receive a notice by email or mail from Capital One or the official settlement administrator. This will include a link to the official settlement website, where you can log in, confirm your eligibility, and update your payment method.
Steps to follow:
- Check for a notification from Capital One.
- Visit the settlement website (link will be in the notice).
- Log in using the details provided.
- Choose direct deposit or check as your payment method.
- Submit your information by October 2, 2025.
Avoid unofficial websites claiming to handle the settlement. These could be scams.
Protecting Yourself from Scams
Unfortunately, scams often follow major settlements like this one. Be cautious of emails, calls, or messages that claim to represent the Capital One settlement and ask for sensitive information. The settlement administrator will never request your password, account PIN, or Social Security number.
Only use the official website link provided by Capital One, and if something looks suspicious, report it directly to Capital One’s customer service.
Frequently Asked Questions (FAQs)
It compensates customers affected by the 2019 data breach and misleading interest rate practices on 360 Savings accounts.
You are still eligible. In fact, you may receive a payment that is 15 percent higher than current account holders.
Yes, it is considered taxable income. Consult a tax advisor to understand how it affects your specific situation.
Payments are expected to start in early 2026, following the court’s final approval on November 6, 2025.
