Purpose Financial Settlement: Eligibility, Claims, and Deadlines

The Purpose Financial settlement is a $7.75 million class action resolution for consumers whose names and Social Security numbers were exposed in the February 2023 data breach at Purpose Financial and its subsidiaries, most of them operating as Advance America. If you received a notice letter, you can file a claim for an estimated $50 cash payment, an additional estimated $50 if you lived in California at the time, or up to $5,000 if you can document out-of-pocket losses tied to the breach. Claims must be submitted or postmarked by February 2, 2026.¹

Who Qualifies

The class covers anyone in the United States whose name and Social Security number were in the files accessed during the February 7, 2023, breach of Purpose Financial’s corporate network. In practice, that means people who received a notification letter from the company about the incident. The affected companies include Purpose Financial and nine subsidiaries, most of which did business as Advance America in California, Florida, Indiana, Kentucky, Michigan, Mississippi, Nevada, Ohio, and Tennessee.²

The judge, her immediate family, Purpose Financial and its affiliates and officers, and anyone who opted out by January 2, 2026, are excluded.³

What You Can Claim

The $7.75 million fund is non-reversionary, so unclaimed money stays with the class rather than returning to the company.⁴ Eligible class members can claim payment in three ways, and the categories can be combined.

A pro rata cash payment of about $50. Every eligible class member who files a valid claim receives this payment with no proof of loss required. You only need your name, address, the last four digits of your Social Security number, and the unique notice ID from your letter.⁵ The $50 figure is an estimate; the actual amount can go up or down depending on how many people file.²

An additional estimated $50 for California residents. If you lived in California when the breach happened, you are also eligible for a second payment that reflects statutory damages under California law.³

Up to $5,000 for documented out-of-pocket losses. If you incurred unreimbursed expenses traceable to the breach, such as identity theft losses, credit monitoring fees, professional fees, or the cost of freezing and unfreezing credit, you can claim reimbursement up to $5,000. You need receipts or similar supporting documents, and you must sign an attestation under penalty of perjury. Self-prepared documents like handwritten receipts are not enough on their own.⁵

Payments go out within 60 days after the settlement becomes final and claims review is complete.⁵

How To File

You can file online at PurposeFinancialSettlement.com or mail a paper claim form. Paper forms can be downloaded from the site or requested by calling (833) 417-4921.² The deadline is February 2, 2026, whether you file online or by mail.¹

For the basic cash payment, have your notice letter in hand so you can supply the unique notice ID along with your name, address, and the last four digits of your Social Security number. If you are also claiming out-of-pocket losses, attach your supporting documentation. The settlement administrator, Simpluris, may ask for additional information and will give you 21 days to fix anything missing from your submission.⁵

Key Dates

Claims deadline: February 2, 2026
Opt-out and objection deadline: January 2, 2026 (now passed)
Final approval hearing: March 17, 2026, at 10:00 a.m.
Payments: within 60 days after final approval, assuming no appeals¹

Is the Notice Real?

Yes. The case is Hernandez et al. v. Purpose Financial, Inc., filed in the U.S. District Court for the District of South Carolina under case number 7:23-cv-04256-JDA before Judge Jacquelyn D. Austin. You can verify it independently through the federal court’s PACER docket. The official settlement site, PurposeFinancialSettlement.com, is run by Simpluris, the court-appointed administrator.⁶

A legitimate class action settlement will never ask you to pay a fee, wire money, or send gift card numbers to receive a payment. The claim form only asks for information needed to verify eligibility, like the last four digits of your Social Security number and the ID printed on your notice. If anything about the letter you received looks off, call Simpluris at (833) 417-4921 or email info@PurposeFinancialSettlement.com before giving out information.⁶

What the Settlement Is Paying For

On or around February 7, 2023, an unauthorized third party accessed Purpose Financial’s corporate network and obtained files containing consumer names paired with Social Security numbers.⁴ Two class action lawsuits followed and were consolidated in October 2023. The complaints alleged that Purpose Financial failed to put adequate cybersecurity safeguards in place, did not warn consumers that their stolen data had been posted for sale on the dark web, and waited roughly six months before notifying affected individuals.⁷ Purpose Financial agreed to the $7.75 million fund to resolve those claims without admitting wrongdoing. Filing a claim releases your right to sue the company individually over the breach.

1
PurposeFinancialSettlement.com. Purpose Financial Settlement Important Dates
2
ClassAction.org. Hernandez et al. v. Purpose Financial Settlement Notice
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PurposeFinancialSettlement.com. Purpose Financial Settlement FAQ
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PurposeFinancialSettlement.com. Purpose Financial Settlement
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ClassAction.org. Hernandez et al. v. Purpose Financial Settlement Agreement
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PurposeFinancialSettlement.com. Purpose Financial Settlement Contact
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ClassAction.org. $7.75M Purpose Financial Settlement Ends Class Action Lawsuit Over February 2023 Data Breach