Capital One CFPB Lawsuit: $425M Settlement Payouts and Terms

If you held a Capital One 360 Savings account at any point between September 18, 2019, and June 16, 2025, you are covered by the $425 million Capital One 360 Savings settlement approved on April 20, 2026, and you don’t need to file a claim to get paid.¹ Payments are scheduled to go out on or about July 2026, absent appeals.

Who Is Covered

Eligibility runs to anyone who held a Capital One 360 Savings account for any period between September 18, 2019, and June 16, 2025. That includes former customers who closed their accounts as well as current holders. The class was certified as part of the consolidated multidistrict litigation captioned In re: Capital One 360 Savings Account Interest Rate Litigation in the U.S. District Court for the Eastern District of Virginia.¹

Note the account name. This settlement covers legacy 360 Savings holders — the product that traces back to the ING Direct accounts Capital One acquired in 2012. It does not cover customers of 360 Performance Savings, the newer, higher-yielding product launched in 2019 that sits at the heart of the dispute.

How Much You’ll Receive

There is no flat payment. Your share is calculated from how long you held the account, your balance during that time, and the total number of eligible customers dividing the fund.² The math is meant to approximate the extra interest you would have earned if your 360 Savings account had paid the 360 Performance Savings rate the whole time.³

The $425 million fund is split into two pools:

$300 million for cash payments to all class members based on missed interest.
$125 million in additional interest for the roughly 75% of class members who still hold legacy 360 Savings accounts. For this pool, Capital One is required to maintain a 360 Savings rate at least double the FDIC’s national average for savings deposits.⁴

For a rough sense of scale: in an earlier round of briefing, a bipartisan coalition of 18 state attorneys general estimated that the average affected customer had lost more than $717 in interest.⁵ That figure is an average across the class, not a promised payment; individual amounts vary widely with balance and time held.

Fees and costs come off the top before checks are cut. Judge David Novak awarded class counsel $32 million in attorney fees plus $1.8 million in expenses, and granted $10,000 service awards to each of 26 class representatives. The settlement website notes that up to 15% of the fund may go to fees and administration; the actual fee award landed well below that ceiling. Any money left unclaimed will be donated to Feed More, a Richmond-based nonprofit.⁶

How and When Payments Arrive

You don’t need to file a claim. Payments will be issued automatically based on Capital One’s account records.¹

How the money reaches you depends on the amount:

Payments of $5 or more are sent by check unless you opted for electronic payment.
Payments under $5 are issued electronically only.¹

Distribution is scheduled for on or about July 2026, assuming no appeals delay the process. If you’ve moved since closing your account, make sure Capital One has a current mailing address on file.

What Changes Going Forward

The settlement doesn’t just look backward. Capital One agreed to raise the interest rate on 360 Savings accounts to match the yield on 360 Performance Savings accounts going forward, eliminating the two-tier arrangement that produced the lawsuit in the first place.² Eight state attorneys general — from California, Maryland, Massachusetts, Minnesota, Nevada, New York, Ohio, and Rhode Island — retained authority to enforce the consumer relief payments and to police any future deceptive statements by Capital One about deposit account rates.⁷ Capital One admitted no wrongdoing.³

Why the Deal Grew Before Approval

An earlier version of this settlement was rejected. In November 2025, Judge Novak turned down a proposed deal built around the same $300 million cash pool and $125 million forward-interest pool, calling it “neither reasonable nor adequate.”⁶⁸⁵

The revised version, announced in January 2026, kept the $425 million total but added the going-forward rate-matching requirement and the FDIC-linked floor on the $125 million pool. That’s the version Judge Novak approved on April 20, 2026.⁷

The Underlying Dispute in Brief

Capital One acquired ING Direct USA in 2012 and rebranded its accounts as 360 Savings. In 2019, it launched a new product called 360 Performance Savings that was functionally identical in terms and features but carried a much higher interest rate.⁹ Rather than migrate legacy customers or raise their rates, Capital One kept both accounts running. By July 2024, the 360 Performance Savings rate was more than 14 times higher than the 360 Savings rate, which had been frozen at 0.30% since December 2020.¹⁰

Court filings alleged Capital One replaced references to the old product on its website without notifying existing customers, excluded 360 Savings holders from marketing campaigns for the new account, and instructed employees to remain “reactive,” meaning they were not to volunteer information about the better option.¹⁰

What About the CFPB Case

You may remember seeing news of a federal lawsuit over the same conduct. The Consumer Financial Protection Bureau sued Capital One on January 14, 2025, alleging customers had been cheated out of more than $2 billion in interest.¹⁰ Six weeks later, on February 27, 2025, the CFPB voluntarily dismissed the case with prejudice, meaning it permanently gave up its right to bring those claims again.¹¹

That dismissal does not affect your payment. The private class-action litigation had been running on a parallel track since 2024 and is the source of the $425 million settlement. If you’re eligible, you’re paid from the class fund regardless of what happened to the CFPB case.

1
Capital One 360 Savings Account Litigation. Capital One 360 Savings Account Litigation Settlement
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U.S. News. Judge Approves Capital One Settlement Deal
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CBS News. Capital One Settlement: $425 Million
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Banking Dive. Capital One Closes Discover Merger, Agrees to $425M Settlement
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Maryland OAG. Attorney General Brown Joins Bipartisan Coalition Opposing Unfair Capital One Settlement
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Virginia Business. Judge Approves $425M Capital One Settlement
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California OAG. Attorney General Bonta Helps Secure $425 Million Capital One Settlement
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Classaction.org. Sim v. Capital One Financial Corporation, Final Approval Not Granted
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ABA Banking Journal. Capital One Agrees to Pay $425M to Resolve 360 Performance Savings Account Allegations
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CFPB. CFPB v. Capital One, Complaint
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CFPB. Capital One, National Association and Capital One Financial Corporation