Block Inc. Settles Multistate Case over Cash App Safety Claims and Fraud
The agreement requires Block to add customer-support and anti-fraud reforms after states said Cash App misled users about fraud protection.
- On Wednesday, Kentucky Attorney General Russell Coleman announced a $45 million multistate settlement with Block, Inc., owner of Cash App, resolving allegations the company misled consumers and failed to protect users from fraud.
- A yearslong investigation found that Cash App's "minimal screening" of user identities facilitated scams, while the company lacked live phone support and ran promotions like "Cash App Fridays" that exposed users to fraud.
- Vermont Attorney General Charity Clark confirmed Vermont will receive $1.3 million from the settlement, following a separate $175 million agreement Block reached with the federal Consumer Financial Protection Bureau in January 2025.
- Under the new agreement, Cash App must implement 24-hour live customer support to resolve fraud claims and discontinue marketing practices known to increase fraud while educating users on common scam types.
- A company spokesperson stated that Cash App will continue investing in operations and technology to promote a safe financial ecosystem, as officials emphasized that consumer protection is essential for marketplace growth.
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36 Articles
Commonwealth part of $45 million Cash App settlement over fraud, safety claims
Pennsylvania and other states reached a $45 million settlement with Block, Inc., the owner of the widely used peer-to-peer payment app Cash App, according to Pennsylvania Attorney General Dave Sunday.
Wisconsin to receive $650,000 in Cash App settlement over alleged consumer fraud
MADISON, Wis. — Wisconsin will receive more than $650,000 as part of a $45 million multistate settlement with Block Inc., the company behind Cash App, over allegations it failed to protect users from fraud and misled consumers about the app’s security. The settlement, announced Wednesday by the Wisconsin Department of Justice and a coalition of […] The post Wisconsin to receive $650,000 in Cash App settlement over alleged consumer fraud appeared…
Cash App agrees to changes after Tennessee joins settlement alleging customers were misled
The settlement stems from a complaint filed in Davidson County accusing Block of unfair and deceptive business practices. Among the allegations, the state claimed the company created the impression that Cash App offered protections similar to those of a traditional bank, even though Cash App is not a bank.
Chicago Sun Times
Usa newsCash App parent company agrees to $45 million settlement with Illinois, 44 other states
Block Inc. will face $55 million in civil penalties and also must pay customers nationwide somewhere between $75 million and $120 million as part of the settlement, which includes the Consumer Financial Protection Bureau.
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