By LawInspectsRight here in the United States, Capital One is a big bank holding company, and if you remember correctly, back in 2019, they went on to launch their “360 Savings” accounts, right? Well, there was something shady going on behind the scenes with this account type, which resulted in this Capital One Savings Account Lawsuit. Well, that’s because not long after that, the company went on to launch their “360 Performance Savings” account typ,e too, but the thing is, there was a huge difference in the interest paid to the customer/clients. So, let’s talk about just that.
So… They Didn’t Tell Anyone?
The issue? Oh, well, how about we start with the main one, you know, like, Capital One didn’t inform the customers using the former account about the new one. There was no conversion, no alert. Many people headed ahead using the former account, quite unaware that they were earning an interest much lesser than before.
And sure enough, this very Capital One Savings Account Lawsuit claims that Capital One went as far as to remove information touching on the old account from its website and replace it with the new one, without offering any explanation whatsoever. Even worse, some internal employees were instructed against mentioning the better account to any existing customers, so that right there is another big issue.
The Lawsuit and the $425 Million Settlement
When all of these details came out to the public, sure enough, a lawsuit was filed in federal court in 2024 by the customers. They are alleged to have been denied billions in interest. Billions! Quite literally! However, Capital One neither admitted to the allegations nor denied them but rather opted to settle, and that’s what this case went forward with.
And just so you know, the total amount of settlement is a minimum of $425 million. One of the largest such settlements in recent banking history for savings accounts, it awaits final approval from the court as of right now.
Who’s Eligible and What You Might Get
To be straight up here, you see, if you had a Capital One 360 Savings account after September 18, 2019, then it is highly likely that you’re part of this settlement and you’ll get paid accordingly. How? Here’s how:
- First of all, well, $300 million will be paid to the customers who received less interest payment due to account charges. How much you receive depends on when you had the chargeable account and the sum of money kept in it.
- Then, $125 million will be used to bring about higher interest rates for savers with 360 accounts. The new rates, at the very least, will be double the national average.
What’s The Update Regarding This Case?
Well, so far, all we know is that the court will hold a settlement hearing sometime before mid-June of 2025. If the settlement goes through, claimants will receive an email/letter with instructions on how to collect the money awarded.
And as we already mentioned before, yes, if you held a 360 Savings account after September 2019, you should keep an eye out for any further notifications from Capital One. So it is kinda important for you to keep an eye on whatever is going on with this case.