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.
63 Articles
63 Articles
46 states settle for $45M over Cash App deceptive practices
Key Points: AGs allege the company failed to install proper consumer protections Cash App is a peer-to-peer payments platform owned by Block Inc. CFPB ordered Block to pay $75M-$120M in 2025 for similar allegations A coalition of 46 states, led by Oregon Attorney General Dan Rayfield and Texas Attorney General Ken Paxton, was awarded $45
Kentucky receives over $550k in CashApp settlement | NewsRadio 1230 AM/99.3 FM | Hopkinsville's News Leader | Hopkinsville, Kentucky
Kentucky recently received over $556,000 in a settlement with CashApp after the mobile wallet platform was accused of deceitful business exercises. Kentucky was among 45 other states a part of the lawsuit, and in total the settlement cost CashApp around $45 million. According to a news release from Kentucky Attorney General Russell Coleman’s office, an investigation was launched in 2021 looking into Block, Inc. which owns CashApp. The investigat…
Attorney General Raoul Announces $45 Million Multistate Settlement With Block Inc. Over Deceptive Practices On Cash App
CHICAGO – Attorney General Kwame Raoul today announced a bipartisan $45 million multistate settlement with Block Inc., the company behind the popular peer-to-peer payments app Cash App. The settlement resolves allegations that Block misled consumers about the safety of Cash App, failed to protect users from fraud on the platform, and didn't provide fraud protection and resolution required by law.“Block told Cash App users their money was safe an…
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