Capital One has just entered into a large settlement of $425 million in a class action suit over 360 Savings accounts. If you held a Capital One 360 Savings account during the particular time frame, you could be in line for a payment. Here is a complete rundown of the settlement, eligibility, potential payouts, and major deadlines.
History of the class action lawsuit
The class action lawsuit was brought against Capital One on grounds that the institution had misled customers regarding interest rates on its 360 Savings accounts. It states that Capital One marketed the 360 Savings account as a high-interest savings product, but later froze interest rates at an appallingly low 0.3% at a moment when national rates were rising. Meanwhile, its relatively new 360 Performance Savings accounts had been offering far more attractive interest rates, which peaked at 4.3% as the Federal Reserve increased rates.
This disconnect cost customers with the older 360 Savings accounts an estimated over $2 billion in lost interest between September 2019 and June 2025. Capital One has denied any wrongdoing and decided to settle to get the matter off its back.
Who gets to share in the settlement?
The settlement covers both current and former customers who held a Capital One 360 Savings account anytime between September 18, 2019, and June 16, 2025. No filing of claims is required by anybody for the settlement payments; eligible account holders will be automatically included.
Distribution of the $425 Million settlement will occur in two major avenues:
- $300 million shall be distributed directly to class members according to the difference in interest they would have earned if their 360 Savings accounts had earned the same interest rate as the 360 Performance Savings account during the covered period. The amount to be entitled will vary according to how long the claimant held their account and what rates applied during those times.
- $125 million shall be given to customers that have maintained their 360 Savings account up to the time of payment. These will be additional interest payments to customers to lift their accounts to a rate at least double that of the national average savings account rate as defined by the FDIC.
Those who have closed their 360 Savings accounts or who close them before October 2, 2025, are eligible for a one-time larger cash payout. This cash payment is estimated to be larger-than-15% than the amount received by the customers who keep their accounts open. Account holders who maintain the savings account will receive a smaller upfront payout but benefit from ongoing increased interest payments credited to their accounts.
How much will I get?
Eligible customers will estimate their payout by comparing the interest they earned on their 360 Savings accounts during the class period with what their accounts would have earned had they been accruing interest at the higher rates of the 360 Performance Savings account. For anyone wishing to run the numbers for themselves, this means they will have to check their own account opening dates, the historical interest rates of the 360 Performance Savings account, and do some simple math to work out their interest differential.
Important dates and payment procedure
- October 2, 2025: The deadline to file objections or opt out of the settlement.
- The final hearing for the court approval is on November 6, 2025.
Payments will be made automatically to all eligible customers once the court grants approval. Customers will also be able to choose their preferred method of payment, either by check or electronic transfer, on the Capital One settlement official website prior to the mentioned October deadline.
In the event that a customer does not select a payment option, the checks will be mailed to the last known address in the records.
What the settlement means for Capital One Customers
This settlement now means a lot for anyone who had a Capital One 360 Savings account during the stated period since it covers a long time where interest rates in these accounts were kept artificially low compared to other savings products offered by the bank.
Customers who kept their accounts open will benefit from an interest yield from here onwards, while those who closed or plan to close their accounts will now receive a lump sum to compensate for the lost interest.
In the end, small account holders or those that subscribed for a short period might be better off going for the lump sum payment, whereas long account holders with larger accounts might find it more favorable to keep their accounts open for the continued higher interest payments.
How to know if you qualify
If you had a Capital One 360 Savings account between September 18, 2019, and June 16, 2025, you are supposed to be eligible. The settlement seeks to automatically include all such clients, although it is worth checking the links given on the Capital One settlement website for further information, updating payment information, or preference in payment options chosen before October 2, 2025.
The $425 million class action settlement- Capital One is an opportunity for all affected customers to seek damages for interest that was lost due to the freezing of interest rates on the older savings accounts operated by the bank. Since the approach does not necessitate the filing of claims, and payments are expected to be disbursed subsequent to the approval of the court in November 2025, the eligible Capital One 360 Savings account holders are advised to act before the October deadline in order to ensure that they receive their benefits through the preferred method.
This settlement is also a good reminder that it is important to keep track of the terms associated with accounts and compare rates offered amongst banks so that one can earn the most on savings. In case you qualify, check your account status and gear up for payment notifications.
If you held a Capital One 360 Savings account between September 18, 2019, and June 16, 2025, you have until October 2, 2025, to submit a claim for your payment as part of this landmark class action deal.
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