.png)
Current and former customers and other individuals who received notice that the 2021 Flagstar Bank data breaches affected their personal information may be eligible to submit a claim for up to $25,000 from a class action settlement.
Flagstar Bank agreed to pay $31.5 million to settle a class action lawsuit alleging it failed to adequately protect consumer data and delayed notifying individuals after two separate data breaches in January and December 2021. These cyberattacks compromised personal information belonging to approximately 2.19 million people in the United States.
Who can file a claim for a Flagstar data breach payout?
Class members are individuals Flagstar identified as having their personal information impacted by one or both of the 2021 data breaches, including those who received a notice.
How much can class members get?
Class members have the following benefit options:
- Reimbursement for documented monetary losses: Class members can claim up to $25,000 in out-of-pocket losses fairly traceable to the data breaches. Eligible losses include unreimbursed losses from fraud or identity theft, professional fees, such as attorneys' or accountants' fees, costs for credit monitoring or freezing/unfreezing credit and miscellaneous expenses, including postage or notary fees.
- California statutory payment: Class members residing in California at the time of the data breaches can submit a claim to receive a cash payment of up to $100.
- Residual cash payment: All class members can submit a claim to receive a cash payment from the net settlement fund after the settlement administrator pays all other claims. The payment is estimated at $60 but could be up to $599. The administrator will determine the final payment amount by the total number of claims filed.
- Credit monitoring services: All class members can elect to receive three years of three-bureau credit monitoring and identity theft protection services.
How to claim a class action rebate
To receive a settlement payment, class members can file a claim online or print a PDF claim form to complete and mail to the settlement administrator.
Settlement administrator's mailing address: Flagstar Settlement Administrator, P.O. Box 4427, Baton Rouge, LA 70821
The claim deadline is Aug. 11, 2026.
Required proof and claim information
- All claims require the settlement claim ID from the settlement notice the class member received.
- Documented monetary losses claims require supporting documentation, which may include receipts, invoices for services, bank or credit card statements showing unreimbursed fees or fraudulent charges and other proof of identity theft or fraud.
Payout options
- Venmo
- Zelle
- PayPal
- Paper check
Settlement fund breakdown
The $31,500,000 settlement fund will include:
- Settlement administration costs: To be determined
- Attorneys' fees: Up to $10,500,000
- Attorneys' expenses: Up to $500,000
- Service awards to class representatives: Up to $2,500 each
- Credit monitoring: Cost determined by the number of claims filed
- Payments to approved claimants: Remaining settlement funds
Important dates
- Deadline to opt out: June 29, 2026
- Deadline to file a claim: Aug. 11, 2026
- Final approval hearing: Oct. 1, 2026
When is the Flagstar Bank data breach settlement payout date?
The settlement administrator will issue payments after the court resolves any appeals and grants final approval of the settlement.
Why did this class action settlement happen?
The class action lawsuit alleged Flagstar Bank failed to adequately protect consumers' personal information and delayed providing notice after the data breaches.
Flagstar denies any wrongdoing but agreed to settle to avoid the expense and uncertainty of continued litigation and a possible trial.
.webp)
.webp)
.webp)
.webp)
.webp)
.webp)
.webp)
.svg)