- A coalition of 46 states, led by Texas and Oregon, settled with Block, Inc. (Block), the company behind the Cash App payment platform, over allegations that the company allegedly failed to protect consumers’ money and personal information.
- The settling states alleged that Block misled users of Cash App about the safety of the platform and failed to provide fraud protection it promised and was required by law to deliver. Block marketed Cash App as a safe alternative to a bank account particularly to unbanked or underbanked citizens who often relied on it as their primary financial account.
- The settlement requires Block to maintain live customer support, stop misleading claims about Cash App’s safety, end marketing practices known to increase fraud, and fulfill its legal obligation to investigate and reimburse unauthorized transactions. Additionally, Block is required to distribute between $75 million and $120 million directly to the consumers nationwide under its settlement with the Consumer Financial Protection Bureau.