Capital One Settlement Payout Incoming

Capital One Settlement Payout Incoming—Who Qualifies Under the Class Action? Capital One customers may receive compensation from a $425 million settlement over lost interest linked to a class action lawsuit. If you held a 360 savings account with Capital One, you could be eligible soon. In this article we will discuss this in detail.

Some Capital One customers are set to get a settlement payout for lost interest on their savings accounts, although the amount each person gets likely won’t cover the full portion of interest payments they missed out on when their money sat in a lower-earning account.

In the lawsuit, customers accused Capital One of creating two similarly named savings accounts that at times earned substantially different interest rates, then leaving some depositors in the dark about which account they held. The settlement, which awaits a judge’s approval in the U.S. District Court for the Eastern District of Virginia, covers nationwide litigation brought by depositors who said they missed out on higher earnings due to the bank’s handling of its 360 Savings and 360 Performance Savings accounts.

Who qualifies for the Capital One settlement money?

Anyone who held a 360 savings account with Capital One for any length of time between Sept. 18, 2019, and the date the settlement is approved can claim a portion of the payout.
If you held a 360 Savings account during this time, you will likely receive a notice via mail or email with instructions on how to claim your compensation. You will have a set window of time in which to claim the money.
“Usually the class members will have to opt in and register to claim their share of the proceeds, but they should look for instructions from the claims administrator on how that process will go forward,” says Steinberg.
“Typically they have made some attempt to identify the universe of impacted people,” says Hill. “But you know they are not going to be perfect because maybe someone had an account, and they closed their account, and they moved, and how they try to send the notice doesn’t go through.”

Details on Payout Calculation

Payment amounts will vary for each class member, being prorated by the potential interest they missed. This means that the longer a customer held a 360 Savings account during the eligible dates and the higher their balance, the larger their share of the settlement. Customers who switched to 360 performance savings or closed their accounts remain eligible for a portion of the $300 million reserved for lost interest.

How much Capital One settlement money will you get?

The $425 million Capital One settlement is split into two buckets. Capital One will pay $300 million to affected customers to make up for interest payments they missed out on. The payouts will be proportionate to how much potential interest you would have earned, and the amount you get will also depend on how many claimants the $300 million must be divided among.
The amount each member gets will be based on the length of time they held the account and what the rates were for the 360 Performance Savings account during the time that they had the older 360 Savings account.

When will Capital One begin sending out payments?

The settlement is still pending court approval, so there are no hard deadlines just yet. However, a court approval hearing is expected to happen later this year to finalize those details. After that, members of the class action lawsuit can likely expect to see payments start going out sometime next year.

Why It Matters

With interest rates rising rapidly since 2022, many consumers have become increasingly sensitive to the rates offered on their deposits. The case highlights growing public scrutiny of banking practices and transparency around financial products amid heightened regulatory focus. Banks are adapting their offerings after the Federal Reserve’s interest rate hikes.

Conclusion

In this article we discussed the Capital One Settlement Payout Incoming—Who Qualifies Under the Class Action? Some Capital One customers are set to get a settlement payout for lost interest on their savings accounts. If you held a 360 Savings account during this time, you will likely receive a notice via mail or email with instructions on how to claim your compensation. For more information, you can visit the official website.