A court-approved class action settlement involving Cash App has drawn national attention after reports that eligible residents could receive payments of up to $147 for receiving unsolicited referral or promotional text messages. The case centers on claims that Cash App’s referral system sent messages without proper consent, violating consumer protection laws.
Although many headlines describe this as a nationwide settlement, eligibility is more limited and primarily applies to Washington State residents who received these messages during a specific time period and submitted a valid claim before the deadline.
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Background of the Lawsuit
The lawsuit was filed against Block, Inc., the parent company of Cash App, alleging that the company’s “Invite Friends” referral feature generated automated text messages without prior consent from recipients.
Plaintiffs argued that these messages violated Washington’s consumer protection and electronic communication laws, which are designed to prevent spam and deceptive marketing practices.
Cash App denied wrongdoing but agreed to a settlement in order to avoid prolonged litigation and legal expenses.
Who Was Eligible for the Settlement
Eligibility was limited to a specific group of people who met all required conditions. In general, a person is qualified if:
- They received a Cash App referral or promotional text message.
- They were a resident of Washington State at the time the message was received.
- The message was sent during the covered time period beginning in November 2019.
- They did not give prior consent to receive such messages.
- They submitted a valid claim before the official deadline.
Importantly, a person did not need to be a Cash App user to qualify. Anyone who received the referral text and met the residency and consent requirements could be included.
Settlement Amount and Why “$147” Is Mentioned
The total settlement fund was set at approximately $12.5 million. However, the commonly reported figure of $147 is not a guaranteed payment.
The actual amount each claimant receives depends on several factors, including:
- The total number of valid claims submitted.
- Court-approved legal and administrative costs.
- Distribution rules established in the settlement agreement.
As a result, most approved claimants are expected to receive payments in a range estimated at $88 to $147, rather than a fixed sum.
Key Dates and Timeline
Several important dates shaped the settlement process:
- Covered period: From November 2019 through the end of the data period used for settlement administration.
- Claim deadline: October 27, 2025.
- Final court approval: December 2025.
- Payment distribution: Begins after approval and completion of claim verification and processing.
Payments are not sent immediately after approval. Administrators must first review claims, remove duplicates, and resolve any disputes before issuing funds.
How the Claim Process Worked
During the open filing period, claimants were required to submit basic information, including:
- The phone number that received the referral text message.
- Contact details for payment delivery.
- Selection of a preferred payment method, such as digital transfer or check.
Claims could be submitted online or by mail. Only individuals who completed this process by the deadline are eligible to receive payment.
Difference Between This Case and Other Cash App Settlements
Many people confuse this spam text settlement with other legal actions involving Cash App, particularly those related to data security or account breaches.
This settlement is strictly related to:
- Referral or promotional text messages.
- Alleged lack of user consent.
- Washington State consumer protection laws.
Other Cash App settlements involve different claims, different eligibility rules, and separate deadlines.
When Payments Are Expected
Now that final approval has been granted, payments are expected to be distributed after:
- Claim review and validation are completed.
- Any appeal periods expire.
- Funds are allocated to approved claimants.
People who filed valid claims should monitor the payment method they selected and any official communication from the settlement administrator.
Scam Warnings and Consumer Safety
As with many high-profile settlements, fraudulent messages and fake websites have appeared claiming to help people “unlock” or “speed up” payments.
Consumers should be cautious of any message that:
- Asks for an upfront fee to release settlement money.
- Requests passwords, one-time codes, or banking credentials.
- Uses urgent language such as “final chance today.”
- Directs users to unofficial or lookalike websites.
Legitimate settlements do not require payment to receive compensation and never ask for private login information.
What Individuals Can Do Now
Because the claim deadline has passed, options are limited for those who did not file. However:
- Those who submitted claims should keep confirmation records and monitor their chosen payment method.
- Those who missed the deadline should be cautious of any offers claiming they can still file unless officially announced by the settlement administrator.
- All consumers can take steps to reduce spam texts by using device-level filters and blocking suspicious numbers.
The Cash App spam text settlement highlights growing legal pressure on companies that use automated referral or marketing messages without proper consent. While headlines often emphasize the figure of $147, the real takeaway is that payments vary and apply only to a defined group of Washington residents who met strict eligibility requirements and filed claims on time.
For affected individuals, the settlement represents both financial compensation and a reminder of the importance of consumer privacy protections in digital communication.