Full Breakdown
Capital One $425 Million Settlement for 360 Savings Customers
4/27/2026, 12:06:36 PM
Settlement Approval
A federal judge approved a $425 million settlement that resolves a lawsuit alleging Capital One offered lower interest rates on its 360 Savings accounts while a newer 360 Performance Savings product offered higher yields. The agreement covers customers who held a 360 Savings account—excluding 360 Performance—between September 18 2019 and June 16 2025, including joint and co-holders. No claim filing is required; payments will be issued automatically. Capital One says it denies wrongdoing.
Case Timeline
Capital One introduced the 360 Performance Savings product in 2019, leading to a claim that the bank failed to inform 360 Savings customers of the higher-rate option. The judge rejected an initial settlement in November 2023 and approved the revised $425 million settlement on April 20 2024. Payments are slated for around July 21 2024.
Eligibility & Payout
Eligibility requires a Capital One 360 Savings account—excluding 360 Performance—held between September 18 2019 and June 16 2025, including joint and co-holders. Payouts are based on the extra interest the account would have earned if it matched the higher 360 Performance rate, factoring balance size and holding period; larger balances over longer periods yield larger payments. The $425 million pool will be reduced by legal and administrative costs before distribution. Payments are automatically deposited; customers who did not choose electronic delivery receive a check for amounts over $5, while smaller amounts are paid only electronically.
Official Statements
The settlement website indicates that eligible customers do not need to file a claim to receive a cash payment. Capital One says it denies wrongdoing. The agreement also requires Capital One to align interest rates across its savings products.
Criticism
The plaintiff claims Capital One failed to clearly inform 360 Savings customers about the newer 360 Performance Savings account, steering them to lower-rate products. The judge’s dismissal of the initial settlement underscores concerns about compensation adequacy.
Conflicts & Gaps
Public filings do not disclose individual payout amounts, the exact formula for the interest differential, or the portion of the $425 million pool allocated to legal and administrative fees.
Verbatim Quotes
- “The settlement website says that eligible Capital One customers don't need to file a claim to receive a cash payment.” — Capital One settlement website
- “Payments will be based on how much customers held in their accounts and for how long, with the total payout pool now set at $425 million—up from $300 million in the earlier proposal.” — Investopedia article
- “The judge rejected an initial settlement last November for not fairly compensating customers.” — ABC7 report
- “If the amount is less than $5, only those who chose electronic payment will receive the money.” — CBS News
What’s Next
Payments are slated for distribution around July 21 2024. Customers who retain a 360 Savings account may see higher APYs as Capital One aligns rates across its savings products. Stakeholders should watch for appellate challenges.
