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This settlement is closed!
Please see what other class action settlements you might qualify to claim cash from in our Open Settlements directory!
UPDATE 2:
- An appeal was filed in this case on June 24, 2021.
UPDATE:
- A judge granted final approval to this settlement May 24, 2021.
- Let Top Class Actions know when you receive a check in the comments section below or on our Facebook page.
Chime digital bank has agreed to pay $1.5 million to resolve allegations that a 2019 service disruption caused its users financial damages. The settlement deal provides payments of up to $750 as compensation for resulting losses.
The settlement benefits individuals who were unable to access their Chime deposit accounts between Oct. 16 and Oct. 19, 2019, due to a service disruption.
Chime’s website says the company was built with a goal of “protecting” its members and “helping them get ahead.”
“That means we don’t profit off of you,” the site says. “We profit with you: every time you use your Chime debit card, we earn a small amount from Visa (paid by the merchant).”
The company is largely fee-free, charging only a $2.50 when a member takes out cash at an out-of-network ATM or makes “an over-the-counter withdrawal.”
Chime also says its customers can get paid “up to 2 days early” when using direct deposit and can help people grow their savings “automatically.”
The recent settlement resolves claims from plaintiffs Ryan Richards, Ruba Ayoub, Brandy Terbay and Tracy Cummings in their Chime class action lawsuit.
According to plaintiffs, their deposit accounts experienced intermittent disruptions between Oct. 16 and Oct. 19, 2019.
As a result of these outages, the plaintiffs and 5 million other Chime customers were allegedly prevented from accessing their accounts for several days. In some situations, users were reportedly denied their only source of money.
“During the Service Disruption, Plaintiffs and Class members were unable to spend or withdraw their funds from their accounts needed for the basic necessities of life, such as food, clothing, shelter, and medicine,” the Chime digital bank class action lawsuit contends.
The plaintiffs argued these service disruptions caused financial injuries in the form of late fees on bills and other charges.
Around 4,000 customer tweets were reportedly found on Twitter following the disruption, detailing the ways in which the customers were affected by the outages. One consumer was reportedly forced to leave groceries at the store because they lacked access to their funds.
Despite the widespread outage, Chime allegedly failed to warn its users of the issue. Instead of contacting its consumers through email, telephone or even the Chime digital bank app, the company reportedly communicated solely through Twitter.
Plaintiffs in the Chime digital bank class action lawsuit argued the bank violated the law with its negligent actions. Chime has not admitted any wrongdoing but has agreed to resolve the claims against it in a settlement deal worth at least $1.5 million.
The settlement provides reimbursement for Class Members in two tiers, depending on the losses they sustained and the proof they may have.
Tier One compensation provides cash payments of up to $25 for Class Members who suffered a loss as a result of the disruption but do not have proof of these losses. Tier Two provides higher payments of up to $750 for consumers who can provide documentation of their losses.
In order to benefit from the Chime digital bank settlement, Class Members must file a valid claim form by Feb. 15, 2021. In order to submit a claim for reimbursement, Class Members must include documentation of their losses with their claim form.
The deadline for exclusion and objection is Feb. 1, 2021. The final approval hearing for the Chime digital bank class action settlement is April 1, 2021.
Who’s Eligible
Individuals who were unable to access their Chime deposit accounts between Oct. 16, 2019, and Oct. 19, 2019, due to a service disruption.
Potential Award
Up to $750 based on provided documentation.
Tier One compensation provides cash payments of up to $25 for Class Members who suffered a loss as a result of the disruption but do not have proof of these losses. Tier Two provides higher payments of up to $750 for consumers who can provide documentation of their losses.
Cash payments will reduced by any money Class Members have already received from Chime in connection with the service outage.
Proof of Purchase
Documentation of losses (receipts, voided checks, bank statements, detailed narrative description, etc.)
Claim Form
NOTE: If you do not qualify for this settlement do NOT file a claim.
Remember: you are submitting your claim under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. If you’re unsure if you qualify, please read the FAQ section of the Settlement Administrator’s website to ensure you meet all standards (Top Class Actions is not a Settlement Administrator). If you don’t qualify for this settlement, check out our database of other open class action settlements you may be eligible for.
Claim Form Deadline
02/15/2021
Case Name
Richards, et al. v. Chime Financial Inc., Case No. 4:19-cv-06864, in the U.S. District Court for the Northern District of California
Final Hearing
04/29/2021 UPDATED
Settlement Website
Claims Administrator
Richards v. Chime Financial
c/o Epiq
P.O. Box 6006
Portland, OR 97208-6006
1-855-917-3581
Class Counsel
John A. Yanchunis
Patrick Barthle
MORGAN & MORGAN COMPLEX LITIGATION GROUP
Joshua H. Watson
CLAYEO C. ARNOLD PLC
Defense Counsel
Abigail Heather Wald
Thomas Patrick Brown
Sean David Unger
PAUL HASTINGS LLP
Frederick B. Burnside
DAVIS WRIGHT TREMAINE LLP
Read About More Class Action Lawsuits & Class Action Settlements:
96 thoughts onChime Digital Bank Outage Class Action Settlement
My daughter received a $690 deposit in her account from the lawsuit yesterday but I only received $15 with no reason why my claim was not approved for anything more. I called the settlement administrator but it’s a phone tree and doesnt give the option to speak to anyone. Does anyone know who to call?
Did both you and your daughter attach documents for proof? Perhaps she did and you didn’t…?
I did also.
UPDATE 3 FINAL APPROVAL HAD BEEN GRANTED AFTER ALL APPEALS OUR MONEY WILL BE HERE BY NOV 19TH
Chime closed my account with no notice , positive balance also UI deposits delayed,,,,,,cannot pay bills,,,I now do not trust banking institutions,,,,need to open up another case ,,,shut chime down,,,,
I’m having the same problem I’m on a fixed income and now I can’t pay my bills this happened to me in July of this year
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I would like to file a lawsuit against Chime. Not sure how I should proceed. Any suggest is appreciated. They close my acct in June 1 , 2021 without any warning .I was in the middle of transaction disputes for unauthorized charges and they double charge me I have payroll
Check that remote deposit . They just close my account and never refund for unauthorized transaction I wasn’t able to withdraw my own money . Couldn’t get hold of anyone . Until now I haven’t rcvd any call or any information ,regard my money that was in there. I was not able to pay my bill on time ,
This cause me a lot problem
I was with Chime for about 5years need to give me back my money .
I am having a big issue with chime chime is constantly taking money off my card apps are charging my card and other
Chime has made a clear decision to withhold my money.I deposited 650 into my Chime acct.Then a few hours later I notice the money dwindling down.I immediately call them,and say it is fraud,and they asked me do I want the temporary card #!!!!I said NO,don’t give it to me and I’ll wait for the card in the mail!!!!
I made this very clear!
And it happened again,all the money was gone after that!!!!
Who actually received payment for this fraudulent bs? It is nearing 45 days from final approval and neither I or anyone involved I know of has heard a single word about the judge accepting our claims…. Let alone anything about a payment. This has been painfully unprofessional and is tiptoeing the line of unacceptable excused solely by the nonsensical cancellations and reschedulings courtesy a la covid. 46 days from approval and I’ll be reaching out to attorney yanchunis to class action sue his own ass. South Park style!!!
I’ve reached out asst least a dozen times with no response
so unprofessional
OMFG I JUST CHECKED THE WEBSITE AND LOOK AT THIS MAJOR SETBACK WE ALL HAVE TO DEAL WITH AND WAIT FOR
Final Approval was granted by the Court on May 24, 2021, and Final Judgment was entered on June 21, 2021. On June 22, 2021, a member of the class filed an appeal of the Final Judgment. Until the appeal is resolved by the Ninth Circuit Court of Appeals, the Settlement Awards and benefits will not be issued. At present, we do not have a timetable for the resolution of the objector’s appeal, but we will post updates on the appeal process as information becomes available.
I need to find the lawyer that helped win this . I have a issues similar to this against capital one bank.
I filed a claim and havent heard anything about this. I sent proof that was not able to use my own money or take money out this screwed me over so much! I had to barrow money from friends and family to cover expenses that I should never had to do .. So what’s the deal a lot of ppl paid already . I haven’t heard anything as of yet?
On March 8th my account was robbed for $3,749 from chime I need help getting my money back I have contacted the IRS I have to contact the police I have given time all the information that they asked for and they’re still not trying to give me back my money
I’m sorry April 8th
If we filed a claim, when do we find out the results of our individual claims? I’ve tried to follow the information but not sure what the turnout was.
Even filed mines, but not sure if I am getting mine through airmail or direct deposit.
Still haven’t received a notice.
Please I need help chime has close to $10,000 a month and don’t want to give it back I got my stimulus deposit in there and my income tax and all of a sudden they closed my account for no reason now all of a sudden they want document so I send out the documents that they asked for and they still refusing to give me my money I believe they are stealing people’s identities and selling it to third party this is not right I need to file for a class action lawsuit or arbitration everyone needs to come together
Same here, I received a ppp loan in February 2021 and now they’ve suspended my account that has 10k in it from stimulus and tax deposits. They’re requesting sensitive information and I feel the same as you.
Yes chime bank did this to me i had my sba loan deposited to this account then they closed my account telling me to verify my funds and i sent them all the info they wanted and they keep saying i violated there terms of use snd i am not getting a refund i had over $10,000 that they are trying to keep of my money
From what I have read chime don’t except business loans as they are a personal bank account. They state that sba/ppp loans are a violation to their terms (personal vs business accounts) and shut those peoples accounts down and send all incoming and loans back to orienting payers. Yes I personally know of multiple chime accounts left open who DID I fact receive sba/ppp loans to their chime account. I personally know of those because I myself know very well of the one/s who assisted in helping those ppl understand the fine printed the loans and set up of their funds (idk if this matters or not but said person/s did it all free of charge)