AT&T $177 million settlement: deadline nears — are you eligible for $7,500?

AT&T is giving out a $177 million settlement for data breach. Read to know if you qualify

Modified on:
September 23, 2025 7:58 pm

A landmark $177 million class-action settlement resulting from two significant data breaches at AT&T is poised to provide cash payouts to millions of customers who were affected. With the claim deadline set for November 18, 2025, it is essential to understand who qualifies and how to file a claim to receive compensation.

Dual data breaches trigger the lawsuit

AT&T experienced two major security incidents in 2024 that compromised massive amounts of customer data. The first breach, disclosed on March 30, 2024, exposed sensitive information including names, billing details, and Social Security numbers of approximately 73 million current and former subscribers. The second breach occurred on July 12, 2024, when hackers illegally accessed call and text logs of nearly all AT&T mobile users by exploiting a third-party cloud platform, affecting an estimated 109 million accounts. 

These incidents led to consolidated lawsuits overseen by the U.S. District Judge Ada E. Brown. The proposed settlement, approved in March 2025, divides the $177 million fund into two parts: $149 million allocated for the first breach, known as “AT&T 1,” and $28 million reserved for the second breach, termed “AT&T 2.”

Who is eligible to claim?

Eligibility for receiving a settlement payment depends on whether an individual falls within one or both of the defined settlement classes. Anyone whose data was compromised in the March breach is part of the AT&T 1 class, while individuals affected by the July breach belong to the AT&T 2 class. Customers impacted by both breaches are included in an overlap class, allowing them to file claims for each settlement separately. Notice of eligibility was sent out via email or postal mail by the Kroll Settlement Administration. If someone has not received notification but believes they are eligible, they should contact the claims administrator at 833-890-4930 or visit the official settlement website to confirm their status.

Understanding the payment options and maximum compensation

Each settlement class offers claimants two ways to receive payment: via a Documented Loss Cash Payment or a Tiered Cash Payment, each with different payout limits. For the AT&T 1 settlement, claimants can request a Documented Loss Payment of up to $5,000 by providing proof of out-of-pocket losses after 2019 that directly relate to the March breach. Alternatively, claimants may receive a Tier 1 payment if their Social Security numbers were exposed, which is worth five times the Tier 2 payment amount. Those whose data was exposed but did not involve Social Security numbers receive Tier 2 payments, which are proportionally distributed from the remaining $149 million fund. 

The AT&T 2 settlement also offers two options: a Documented Loss Cash Payment of up to $2,500 for losses after April 14, 2024, and a Tier 3 payment distributed pro rata from the $28 million fund after administrative costs. Individuals qualifying for both settlements may submit separate Documented Loss claims for each breach, enabling them to receive up to $7,500 in total compensation, provided they support each claim with distinct documentation.

How to submit your claim

To file a claim, eligible individuals should visit www.telecomdatasettlement.com and select the “Submit a Claim” option. They must enter their Class Member ID, a unique identifier provided in the claim notification sent by email or mail. Claimants then choose whether to submit a Documented Loss or Tier payment claim and upload the required supporting documents if applicable. After verifying all information, the claim can be submitted online for processing. Those who prefer to file by mail may submit a paper Claim Form, ensuring it is postmarked no later than November 18, 2025, to meet the filing deadline.

Important deadlines and what follows next

The final date to submit claims is November 18, 2025, applicable to both online and mailed submissions. The court scheduled a final approval hearing for December 3, 2025, in the Northern District of Texas to consider finalizing the settlement and addressing any remaining procedural matters. Once the court grants approval and any appeals are resolved, the settlement administrator will begin processing payments in early 2026. 

Claimants who decide to opt out of the settlement will forfeit their right to payment through this process but retain the option to pursue separate legal action independently.

Protecting your rights and data

While AT&T has denied any wrongdoing, it chose to settle to avoid protracted litigation. It is crucial for eligible individuals to act before the November 18 deadline to secure their share of the settlement fund, whether by submitting claims for documented losses or opting for tiered payments. Timely action ensures compensation of up to $7,500 and addresses grievances resulting from the breaches. Missing the deadline will result in forfeiting any potential reimbursement under the settlement and losing the chance to resolve data breach issues within this legal framework.

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Jack Nimi
Jack Nimihttps://polifinus.com/author/jack-n/
Nimi Jack is a graduate on Business Administration and Mass Communication studies. His academic background has equipped him with a robust understanding of both business principles and effective communication strategies, which he has effectively utilized in his professional career. He is also an author with two short stories published under Afroconomy Books.

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