What is the Plaid settlement? Plaid has technology that allows people to connect their bank accounts to around 5,000 different popular apps, including payment apps, savings apps, and crypto apps. Some of these apps include Venmo, Coinbase, Wells Fargo, and American Express.
What is the Plaid lawsuit?
Plaid, a service that connects bank accounts to apps, has settled a $58 million class-action suit for allegedly collecting excess user data. Plaid, a service that connects bank accounts to finance apps like Venmo, has settled a $58 million class-action lawsuit after allegedly fraudulently collecting excess user data.
How much is Plaid paying its clients?
As a result, it will pay $58 million to all those consumers who have linked a bank account to any of Plaid’s 5,500-plus client apps, which include popular services like American Express, Venmo, Robinhood, Coinbase, and Betterment.
What does the Plaid settlement mean for Venmo?
As part of the settlement terms, Plaid will minimize the collection of user data when it connects users’ accounts to apps like Venmo, which already has privacy concerns. The settlement established an app lookup portal to view what apps have been affected by Plaid’s data collection.
What is Plaid's $58 million settlement?
OAKLAND, Calif. (CN) — A federal court judge on Wednesday approved banking app Plaid's $58 million privacy class action settlement after consumers claimed the company had harvested and sold their financial data without consent.
Venmo users are eligible for the Plaid settlement
Plaintiffs in the Plaid class action lawsuit claimed that Plaid unlawfully used data obtained on consumers. The company is alleged to have exploited its position to obtain user login information and sell transaction histories.
How can individuals file a claim for the Plaid settlement?
Consumers who can receive a payment from the settlement include users of financial accounts that were accessed by Plaid. Plaid must have accessed one or more of your financial accounts or obtained your login credentials between January 1, 2013, and November 19, 2021. You must also have been a U.S. resident at that time in order to file a claim.
Is Plaid publicly traded?
Plaid has been through some ups and downs, namely with a failed Visa merger in 2021. Plaid isn’t publicly traded, although an IPO is still a possibility. In December 2021, Crunchbase named Plaid as one of 30 startups it deemed likely to go public in 2022. Other fintech firms named in that piece included Klarna, Chime, and Stripe.