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Block Pays $45 M Settlement, Overhauls Cash App Safety Practices

7/10/2026

42 6 Full Breakdown

Summary

Block Settles Fraud

Block, Inc. settled for $45 million over Cash App fraud, paying Michigan $936,540.
Attorney General Dana Nessel (D-Mich.) announced the July 9, 2026 settlement and said Block misled users about safety.
Block must provide 24-hour support with at least 13.5 hours of phone and 18 hours of chat daily.
Block must stop false safety claims, end “Cash App Fridays” promotions, educate users and pay $75 million-$120 million in a CFPB settlement.

Summary

Block Faces Oversight

Block, founded by Jack Dorsey in 2009, now faces heightened fintech oversight as regulators treat Cash App like a bank.
Investigators said Cash App lacked an official support phone line until 2021, exposing unbanked and underbanked users to scam hotlines.
Block said it has heavily invested in consumer protection, support and compliance to meet the consumer-protection standards demanded by state attorneys general.

History

Historical Context

The 2010 Dodd-Frank Act created the Consumer Financial Protection Bureau, which began operating on July 21 2011 to police post-crisis financial practices. Within its first decade the agency fined PayPal $5 million for deceptive marketing, and in 2026 Michigan Attorney General Dana Nessel secured a $45 million settlement with Block’s Cash App, extending the bureau’s fintech crackdown.

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Block Settles Fraud

Block, Inc. settled for $45 million over Cash App fraud, paying Michigan $936,540.
Attorney General Dana Nessel (D-Mich.) announced the July 9, 2026 settlement and said Block misled users about safety.
Block must provide 24-hour support with at least 13.5 hours of phone and 18 hours of chat daily.
Block must stop false safety claims, end “Cash App Fridays” promotions, educate users and pay $75 million-$120 million in a CFPB settlement.

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