What is the reason for this settlement?
If you’re a current or former AT&T customer, you might have cash waiting for you. However, time is limited. You have until November 18, 2025, to file a claim potentially worth up to $5,000.
This deadline follows a class action lawsuit against AT&T for failing to adequately secure customers’ information in two separate security breaches — one that occurred in March 2024 and another in July of the same year.
Together, the two breaches exposed sensitive customer data, including millions of Social Security numbers, to hackers who operate in the internet’s dark web.
What happened: The breaches that sparked it all
In March 2024, a database surfaced on the dark web — part of the internet set aside for anonymous transactions. It contained the Social Security numbers of 7.6 million current AT&T account subscribers and 65.4 million previous account subscribers. CNET then reported that the breach may have begun as far back as 2019.
Only a few months afterwards, in July 2024, AT&T announced another data breach. This time, hackers uploaded the call log information for almost all customers onto a third-party site. The punchline? The information was stolen back in 2022 during a security gap — so it had been floating around for some time before AT&T realised what was going on.
How much AT&T is paying
AT&T has agreed to pay $177 million to settle the lawsuits:
- $149 million for the March hack
- $28 million for the July hack
While the company doesn’t take responsibility for the hacks, it says the settlement is intended to “avoid the cost and uncertainty of extended litigation.” That is, they’d rather just cut a check than battle it out in court for years.
What you could get
Here’s where it gets tasty for shoppers:
- For the first settlement, claimants can get up to $5,000.
- For the second settlement, the limit is $2,500.
Claimants can also receive up to 24 months of free credit monitoring if they submit a valid claim.
But there’s a catch: The actual payment will depend on the number of people who actually file. Each person will receive less if they file a large number of valid claims. Administrative fees and attorney fees are also paid from settlement funds before payments are calculated.
What is a class action settlement?
A class action occurs when multiple individuals file lawsuits at the same time due to similar injuries. One or more individuals sue on behalf of the whole “class” — all the involved individuals.
When companies settle these suits, they generally give money to plaintiffs in exchange for those people agreeing not to sue again. In most instances, the defendant (in this case, AT&T) still insists it did nothing wrong but concludes it’s cheaper to settle than to fight. Past class actions have included everything from contaminating the environment to deceptive marketing. In this case, it’s all about data protection and privacy for millions of Americans.
Key dates you should be aware of
- October 17, 2025—the final date to object to or opt out of the settlement.
- November 18, 2025 – Final date to mail in your claim form.
- December 3, 2025 – Final court approval of the settlement.
If you fail to remember the claim date, you risk losing your money and credit monitoring.
Why this matters to you
This deal is not just about dollars. It’s about holding businesses accountable for protecting sensitive customer data. Cyberattacks are more common—and devastating—than ever. If an attack involves Social Security numbers and individual call lists, more than embarrassment is at stake.
Your information can be used for identity theft, to make false loan requests, or to even use as a tool to impersonate you online. That is why free credit monitoring (part of this settlement) might be just as valuable as the cash.
AT&T’s response
In a statement to Nexstar, AT&T emphasised:
“While we dispute the charges in these suits that we were responsible for these criminal acts, we are settling the claims because we would rather not incur the cost and uncertainty of protracted litigation. We remain committed to safeguarding our customers’ data and earning their trust.
It’s a cautious mix of denial and reassurance — a standard tone in corporate crisis communications.
How to file your claim
It’s simple to submit, but you have to do so by November 18, 2025. You may submit online at the settlement administrator’s website (generally a link is provided in formal notices or press releases).
You’ll need:
- Proof you were an AT&T customer at the time of the breach periods
- Minimum personal information for identification
- Documentation of any costs or losses you’re claiming (if asking for the maximum)
And this warning: filing a false claim penalizes good claimants and will have you in court.
What happens after you file?
After the deadline, the court will then review the settlement for final approval in December. If approved, payments generally begin several weeks to months afterward, depending on the complexity of claims and volume of submissions.
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Remember—if you accept the money, your award can be much lower than the $5,000 maximum if lots of people make legitimate claims. That’s the trade-off in most class action settlements.