Capital One customers may be eligible for a payout under a $425 million settlement. In 2024, the bank was sued by customers in a class action lawsuit who alleged that the bank capped savings account interest rates at a low rate for several years while marketing the accounts as “high interest.”
The settlement comes after a Consumer Financial Protection Bureau lawsuit over the same matter, with this translating to customers losing over $2 billion in unpaid interest payments, the Bureau stated.
Capital One $425M Class Action Settlement
Thursday, October 2, 2025, was the deadline to receive a share of the $425 million settlement. You can receive a share from the settlement fund if you hold a 360 savings account with COFC.
While the settlement has been agreed upon, it is pending court approval, as a hearing has been scheduled for November 6, 2025. A claim form is required to receive the payments, it is stated. Here is all you need to know about the lawsuit and claiming a portion of the settlement.
Capital One Bank Settlement 2025 Overview
| Company Under Lawsuit | Capital One Bank |
| Article On | Capital One $425M Class Action Settlement |
| Country | USA |
| Settlement Amount | $425 million |
| Class Period | September 18, 2019, through June 16, 2025 |
| Objection Deadline | October 2, 2025 |
| Final Approving Hearing Date | November 6, 2025 |
| Category | Government Aid |
| Official Website | capitalone360savingsaccountlitigation.com |
Who Sued Capital One
The $425 million settlement is the result of a class action suit that was brought in U.S. federal court in Alexandria, Virginia, by customers against Capital One in 2024, says a notice seen by USA TODAY. The Consumer Financial Protection Bureau (CFPB) sued Capital One in early this year as well, accusing the bank of keeping its rate frozen at a low level for years while national rates were rising. Consequently, consumers were shortchanged an estimated $2 billion in foregone interest payments, the CFPB said.
In a release on January 14, the CFPB reported that Capital One advertised its 360 Savings account as being “high interest” with a variable rate that was “one of the nation’s best,” and that consumers would receive substantially more interest than an average savings or money market account. The CFPB labeled those representations as “false or otherwise misleading.” The CFPB dismissed its lawsuit in February, but Capital One will pay the $425 million settlement in the 2024 separate class action lawsuit.
The CFPB and consumers weren’t alone in suing Capital One, however, as Attorney General Letitia James sued the bank in May for “misleading its online savings account customers about the interest rates they would receive, allowing the bank to avoid paying the high interest rates that it promised to customers.”
On Wednesday, September 24, James announced that she headed a bipartisan group of 17 other attorneys general in fighting the proposed $425 million class action settlement that her office explained would “shortchange Capital One customers who were cheated out of more than $2 billion in unpaid interest.”
Who is Eligible for the Capital One $425M Settlement
Eligibility for the Capital One $425M Settlement 2025 is simple. You need to:
- Capital One 360 Savings account holders from September 18, 2019, to June 16, 2025. Joint account holders also qualify for this settlement.
- Even clients who closed accounts during this time could be eligible for a lump sum, as long as they also update their data by the October 2, 2025, cutoff.
Note: No claim forms are needed for automatic payments, but keeping your contact information current helps ensure you don’t miss out on your portion.
Key Dates of the Capital One $425M Class Action Settlement
The date on which claimants will receive the payouts of the Capital One Bank Settlement has not been finalized yet by its administrators. However, the other key dates of this settlement are –
| Events | Date |
|---|---|
| Exclusion Deadline | October 2, 2025 |
| Objection Deadline | October 2, 2025 |
| Payment Mode Selection Deadline | October 2, 2025 |
| Final Approval Hearing On | November 6, 2025 |
How Much Will Claimants Be Paid Under This Settlement
Based on the settlement press release, the $425 million settlement will be divided between a $300 million Cash Settlement Fund which will be used to fund cash payments to all 360 Savings account holders based on their account balances; and $125 million to “be used to make higher interest payments in the future for customers who continue to hold 360 Savings accounts.”
Those who have already closed their 360 Savings, or close it on or before October 2, will get a class cash payment, which is now estimated to be about 15% bigger than if their account stays open. Customers may still close their accounts after getting the bigger payment.
Latest News On Capital One $425M Class Action Settlement
The Capital One $425M Class Action settlement is a wake-up call for banks and consumers alike. If you were a victim of an affected account, acting quickly may lead to substantial compensation. Between 2019 and 2025, if you are a Capital One customer and have suffered identity or financial losses, then you are entitled to compensation. Aside from the payment, this case highlights financial prudence and how one needs to recognize how slight banking policy alterations influence long-term savings.
FAQs
Am I eligible for the Capital One $425M settlement payout?
Yes, if you are or were a Capital One 360 Savings account holder from September 18, 2019, to June 16, 2025.
Do you need to submit a claim in order to receive a payment?
No claim is necessary. Eligible members receive payments automatically, but may select their payment method online.
What was the deadline for choosing your payment method?
The deadline for choosing your payment method was on October 2, 2025, by entering the settlement notice ID and PIN.
Has the court approved the $425M Capital One Bank settlement in 2025?
No. On November 6, 2025, the $425M Capital One Bank settlement will be approved.
