AT&T Class Action Lawsuit Sending $7,500 Settlement Checks After Two Massive Data Breaches Exposed 73 Million Customers’ Most Sensitive Info
What’s the AT&T Settlement About?
AT&T agreed to pay $177 million to settle class action lawsuits over two separate 2024 data breaches that exposed personal information of approximately 73 million current and former customers. Eligible customers can receive up to $7,500—$5,000 for the March 2024 breach and $2,500 for the July 2024 breach—depending on which incidents affected them and whether they can document financial losses. The claim deadline was December 18, 2025, and the court will hold a final approval hearing on January 15, 2026, with settlement checks expected to arrive 60-90 days after that, likely March or April 2026.
Here’s the reality check: 73 million people had their most sensitive information—Social Security numbers, birth dates, addresses, account passcodes—dumped on the dark web where criminals could buy it. Then months later, AT&T admitted to a second breach where hackers stole call and text records showing who you called, when, how long you talked, and even which cell towers you used. For identity thieves, this was a gold mine.
The Two Data Breaches That Triggered the Lawsuit
March 2024: The Dark Web Dump
On March 30, 2024, AT&T disclosed that a massive database containing customer information appeared on the dark web. This wasn’t new data—it originated from a 2019 breach but didn’t surface publicly until 2024.
What was exposed:
- Social Security numbers
- Birth dates
- Full names and addresses
- Email addresses and phone numbers
- AT&T account passcodes
- Billing account numbers
The breach affected roughly 7.6 million current customers and 65.4 million former customers. If you were an AT&T customer at any point since 2019 or earlier, your data was potentially included.
July 2024: The Call Records Hack
In July 2024, AT&T announced a second incident involving data illegally downloaded from a third-party cloud platform operated by Snowflake Inc. This breach exposed call and text metadata—not the content of your messages, but everything else.
What was stolen:
- Phone numbers of customers who called or texted
- Phone numbers of people customers contacted
- Dates and times of calls and texts
- Call durations
- Cell site identification numbers (showing your location)
This breach covered records from May through October 2022, plus a smaller subset from January 2, 2023. According to AT&T, it affected “nearly all” AT&T cellular customers during that period.
How Much Money Can You Get?
The $7,500 figure represents the maximum possible payout if you were affected by both breaches and can document significant financial losses. Here’s the actual breakdown:
March 2024 Breach (AT&T 1 Settlement Class)
You can claim up to $5,000 for documented losses that occurred in 2019 or later. These include:
- Identity theft expenses
- Credit monitoring costs
- Fraud charges on your accounts
- Time spent resolving identity theft issues
- Legal fees related to the breach
Alternative Tier Payments (No Documentation Required):
If you can’t prove financial losses, you can still receive a tiered payment:
- Tier 1 Cash Payment: If your Social Security number was exposed—this pays five times more than Tier 2
- Tier 2 Cash Payment: If other personal data was exposed but not your SSN
The exact amounts depend on how many people filed claims. Estimates suggest Tier 1 payments could range from $15 to $100, while Tier 2 might be smaller.
July 2024 Breach (AT&T 2 Settlement Class)
You can claim up to $2,500 for documented losses that occurred on or after April 14, 2024, using the same types of proof.
Tier 3 Cash Payment (No Documentation Required): A proportional share of remaining funds after administrative costs and legal fees.
If You Were Affected by Both Breaches
You could file claims in both settlement classes and potentially receive the full $7,500. However, you’d need documentation showing financial harm traceable to each specific breach.
The Claim Deadline Has Passed—What Now?
The deadline to file a claim was December 18, 2025. If you missed it, you cannot submit a new claim at this point. All claims had to be submitted online at www.telecomdatasettlement.com or postmarked by mail to Kroll Settlement Administration by that date.
However, if you did file a claim, here’s what happens next.
When Will Settlement Checks Actually Arrive?
Final Approval Hearing: January 15, 2026
The U.S. District Court for the Northern District of Texas will hold a final fairness hearing at 9:00 a.m. Central Time. During this hearing, the judge will:
- Review objections to the settlement (if any)
- Decide whether the settlement terms are fair
- Approve attorney fees and administrative costs
- Grant final approval for payment distribution
Payment Timeline After Approval
If the court approves the settlement on January 15, there’s typically a 30-day appeal period. If no appeals are filed (or they’re quickly resolved), Kroll Settlement Administration can begin processing payments.
Based on similar large class action settlements, checks typically go out 60 to 90 days after final approval. That means most AT&T customers who filed claims should expect to receive their settlement payments sometime between March and April 2026.
How You’ll Receive Payment
When you filed your claim, you selected a payment method:
- Direct deposit (Venmo, PayPal, Zelle)
- Prepaid Mastercard
- Paper check mailed to your address
Make sure your contact information is current with Kroll Settlement Administration so you don’t miss notifications about your payment.
AT&T’s Response: Denying Everything While Paying $177 Million
AT&T has consistently denied any wrongdoing or legal liability for either data breach. In official statements, the company maintained it “and our executives have always followed the law.”
So why pay $177 million if they did nothing wrong? AT&T settled “to avoid the cost and time of further litigation.” Translation: even if they believed they’d win in court, the legal battle would drag on for years and cost millions in attorney fees, expert witnesses, and discovery costs.
By settling, AT&T ends the lawsuits, avoids admitting fault (which protects them from other lawsuits), and moves forward without the negative publicity of a lengthy trial.
What This Settlement Means for Telecom Accountability
$177 Million Sends a Message
This is one of the largest telecommunications data breach settlements in recent years. For context:
- Verizon paid $100 million in a 2024 settlement over similar billing issues
- T-Mobile paid $350 million in 2022 after a data breach affected 76.6 million customers
- Equifax paid $425 million in 2019 after exposing 147 million consumers’ data
AT&T’s settlement sits squarely in the range of major corporate accountability cases, signaling that companies will face significant financial consequences when customer data isn’t protected.
The Two-Breach Problem
What makes this case notable is that AT&T experienced two separate breaches in the same year affecting overlapping customer groups. The lawsuits alleged AT&T failed to implement adequate security measures even after the first incident became known.
Frequently Asked Questions
I didn’t file a claim by December 18. Can I still get money?
Unfortunately, no. The claim deadline is firm. Late claims won’t be processed. If you didn’t file, you’re not eligible for the settlement payment.
How do I know if I filed a claim?
You should have received a confirmation number when you submitted your claim online or kept a copy of your mailed claim form. If you’re unsure, contact Kroll Settlement Administration at (833) 890-4930.
Will I get the full $7,500?
Probably not. The $7,500 represents the maximum if you were affected by both breaches and documented substantial financial losses. Most claimants will receive between $100 and $500 based on their tier and the total number of claims filed.
Is this settlement taxable?
Generally, payments for identity theft losses and time spent resolving issues are not considered taxable income. However, consult a tax professional for advice specific to your situation.
How will I know when my check is coming?
Kroll will notify you by email or mail when payments are ready to be distributed. Keep your contact information current and check your email regularly (including spam folders) after the January 15 hearing.
What if I changed addresses?
Contact Kroll Settlement Administration immediately at (833) 890-4930 or email them through the settlement website to update your mailing address before payments are issued.
Can I still opt out of the settlement?
No. The deadline to opt out was November 17, 2025. By filing a claim, you agreed to release AT&T from further legal claims related to these breaches.
Key Takeaways
✓ $177 million settlement for two 2024 data breaches
✓ Up to $7,500 maximum payout per person
✓ 73 million current and former AT&T customers affected
✓ Claim deadline was December 18, 2025 (closed)
✓ Final approval hearing: January 15, 2026
✓ Settlement checks expected: March-April 2026
✓ Payment timeline: 60-90 days after court approval
✓ Most claimants will receive $100-$500, not the full $7,500
Official Resources
- Settlement Website: www.telecomdatasettlement.com
- Settlement Administrator Phone: (833) 890-4930
- Settlement Administrator Mail: AT&T Data Incident Settlement, c/o Kroll Settlement Administration LLC, P.O. Box 5324, New York, NY 10150-5324
- FTC Data Breach Response: https://www.ftc.gov/business-guidance/resources/data-breach-response-guide-business
- Report Identity Theft: https://www.identitytheft.gov
Disclaimer: This article provides general information about the AT&T data breach settlement and is not legal advice. For specific guidance about your claim, contact the settlement administrator or consult a qualified attorney.
Last Updated: January 6, 2026
About the Author
Sarah Klein, JD, is a licensed attorney and legal content strategist with over 12 years of experience across civil, criminal, family, and regulatory law. At All About Lawyer, she covers a wide range of legal topics — from high-profile lawsuits and courtroom stories to state traffic laws and everyday legal questions — all with a focus on accuracy, clarity, and public understanding.
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