Capital One 360 Savings customers may receive a share of a $425 million class-action settlement
A settlement totaling $425 million is headed to Capital One 360 Savings customers who held a qualifying account from September 18, 2019, through June 6, 2025. The case centers on claims that Capital One marketed the 360 Savings account as a high-interest option while, in 2022, the rate on that account remained at 0.3%. By contrast, the bank’s 360 Performance Savings account rose to about 4.3% as federal rate increases took hold, a gap the plaintiffs say Capital One failed to disclose, including failing to inform customers about the higher-earning option.
The Consumer Financial Protection Bureau also pursued a separate action over the same issue but later dropped the case. Capital One has denied wrongdoing but agreed to the settlement to resolve the matter.
Under the terms, the $425 million will be distributed in two parts:
– About $300 million will be paid out pro rata to settlement class members based on the portion of interest they would have earned if their 360 Savings accounts had paid the rate applicable to the 360 Performance Savings account during the relevant period.
– The remaining $125 million will fund additional interest payments for class members who continue to maintain 360 Savings accounts. Capital One is required to keep the 360 Savings rate at least twice the national average rate for savings deposits as calculated by the FDIC.
Exact payouts per person are not yet known. Those who close their 360 Savings account by October 15 are anticipated to receive about 15% more than those who keep the account open, according to the report.
The settlement is awaiting court approval, with a hearing date set for November 6. It is unclear how long it will take for payments to be issued after the court signs off.
What this means for customers
– Qualifying customers who held a 360 Savings account during the eligibility window will be part of the pro rata distribution and could see extra payments if they maintain the account.
– The case illustrates the tension between marketing promises and actual account performance when interest rates move, and it may influence how banks disclose alternatives and rate differences in the future.
Next steps
– Eligible customers should monitor updates from the settlement process and communications from Capital One or court-appointed administrators.
– Those who want a larger eventual payout might consider keeping their 360 Savings account open until the October 15 deadline, though individual circumstances will vary.
Summary
A $425 million settlement aims to compensate Capital One 360 Savings customers for alleged underpayments during a period when higher-yielding accounts were available within the same product family. The plan splits payments between a pro rata share and additional disbursements for those who keep their accounts open, with a court hearing scheduled for November to determine final approval. The move represents a major step in resolving consumer claims about how savings accounts were marketed and how interest was paid during a volatile period for interest rates.