Getting a refund from Cash App: If you use Cash App, then there is big news for you. The US consumer protection agency, Consumer Financial Protection Bureau (CFPB), has ordered Cash App’s parent company Block Inc. to return $120 million (about Rs 1000 crore) to its customers. Apart from this, the company will also have to deposit $55 million (about Rs 450 crore) in the government’s relief fund.
This is not the first time Cash App has faced such action. Even before this, in 2023, the company had to pay a damage of $15 million due to a security breach. This time the matter is more serious, as the allegations are directly related to fraud with users and poor security policies. Now the question arises that if you are a Cash App user, will you also get a refund? Let’s understand this whole matter in detail.
What are the allegations against Cash App?
In its investigation, the CFPB found that Cash App treated its customers unfairly and deceptively at several levels. According to the CFPB,
Cash App encouraged fraud –
- The company’s security systems were so weak that scammers had no problem swindling money from users.
Did not investigate cases of fraud –
- When users filed complaints of fraud, Cash App closed the complaints directly instead of properly investigating.
Put the responsibility on the banks –
- Cash App advised its users to contact their banks and try to reverse the transactions, but when the banks did so, Cash App itself rejected those requests.
Misuse of terms and conditions –
- The company added such things to its rules, which made the users feel that it was the bank’s responsibility to get their money back, whereas in reality it was the responsibility of Cash App.
Customer support was negligible –
- Cash App had provided a toll-free number for customer support, but when people called on it, they were only given a recorded message. In this, they were asked to go to the app and contact the help center, but no proper help was available on the app either.
Gave free hand to scammers –
- When users searched for the customer support number online, scammers reached out to them and trapped them in fake support service and stole their personal information and passwords. CFPB said that Cash App was fully aware of this, but still the company did not take any concrete steps.
Will you get a refund?
If you are a Cash App user, then you are likely to get a refund in this case. However, it is not yet decided how many people will get a refund and how much amount will each person get.
According to CFPB, the following categories of customers may be eligible for this refund:
- People who complained about fraud but did not get their money back.
- Those whose accounts were deducted without permission, but Cash App did not investigate properly.
- Whose accounts were blocked.
- Who were not given a refund even temporarily during the investigation of their case.
The best part is that you do not need to file any claim for this refund. CFPB itself will identify all the users who have been affected in this case and get their money back.
What is the process for getting a refund from Cash App?
The method of refund will depend on whether you are still using Cash App or not.
- If you are still a Cash App user – then your refund will be credited directly to your Cash App account.
- If you are no longer using Cash App – then you will be paid through some other medium.
It is not yet clear whether this payment will be through bank transfer or some other way. But CFPB has said that users do not need to do anything themselves, they will get their money automatically.
What other changes will Cash App have to make?
The CFPB has not only ordered Cash App to give a refund, but has also asked it to make major changes in its way of working. Now the company will have to:
- Provide 24×7 live customer support – now users will not be left with a recorded message.
- Unauthorized transactions will have to be properly investigated – now Cash App cannot ignore any fraud report.
- Fast refund will have to be given in fraud cases – If a customer’s money is deducted due to any error, then Cash App will have to refund it as soon as possible.
What to do if you need any more information?
If you need any information in this matter or you think you are entitled to this refund, you can contact Cash App in the following ways:
- Toll-free number: 1-888-488-1181
- Email: CFPBinquiry@cash.app
- Contact via mail:
- Cash App MSC 210
- 1955 Broadway, Suite 600
- Oakland, CA 94612
Also, if you need to file a complaint related to any other financial product or service, you can directly visit the CFPB website and complain online.
Conclusion: Is it beneficial for you?
If you have ever used Cash App and have faced any kind of financial fraud, then this case can benefit you. The CFPB has clearly stated that users do not need to do anything themselves, they will get their money automatically.
However, this whole process may take some time, so it is important to be patient. If you want more information about this, you can contact the CFPB or Cash App.Do you think companies like Cash App should get more severe punishment for this kind of negligence? Do let us know what you think.
