NCB Management Services $2.63M Data Breach Settlement

Consumers who received notice that your personal information was compromised in the NCB Management Services Inc. data breach disclosed in March 2023 may qualify to claim up to $2,500 from a class action settlement.

NCB agreed to pay $2.63 million to settle a class action lawsuit alleging it failed to implement reasonable data security measures, resulting in a data breach that exposed the personal information of more than 1.6 million individuals.

Who is eligible for an NCB Management Services payment?

Class members must meet the following criteria:

• They are a person in the United States whose personal information was compromised in the data breach disclosed by NCB on or about March 24, 2023.
• They received notice of the data breach from NCB or its partners, such as Bank of America or Pathward.

How much is the data breach payout?

Class members can claim one of two types of awards, depending on their circumstances and preferences:

• Out-of-pocket losses and lost time: Up to $2,500 for documented out-of-pocket costs or expenditures, including lost time, that are related to the data breach. This includes unreimbursed fraud losses, professional fees, lost interest from delayed tax refunds, credit freeze or monitoring costs and other related expenses. For lost time, class members can claim up to four hours at $30 per hour for a maximum of $120.
• Alternative cash payment: Class members who do not have out-of-pocket losses and lost time may opt for a flat, pro rata share of the settlement fund. The exact amount will depend on how many valid claims are submitted.

How to claim a class action rebate

To claim a payment, class members can file a claim online or download, print and complete the PDF claim form and mail it to the settlement administrator. Claims must be submitted online or postmarked by Aug. 26, 2025.

Settlement administrator's mailing address: In re: NCB Management Services, Inc. Data Breach Litigation c/o Kroll Settlement Administration LLC, P.O. Box 225391, New York, NY 10150-5391

Proof and documentation required

• All class members must provide the class member ID located on their settlement notice.
• Class members claiming reimbursement for out-of-pocket losses and lost time must provide documentation, such as receipts, account statements, letters from financial institutions or the Internal Revenue Service or other evidence showing the loss is related to the data breach.
• Class members claiming lost time must describe the actions they took and the time spent remedying issues caused by the breach.

Payout options

• PayPal (online claims only)
• Venmo (online claims only)
• Zelle (online claims only)
• Virtual MasterCard (online claims only)
• Direct deposit (online claims only)
• Paper check

$2.63 million data security settlement fund breakdown

The $2,625,000 settlement fund includes:

• Settlement administration costs: To be determined
• Attorneys' fees: Up to $875,000
• Attorneys' expenses: Up to $50,000
• Service awards to class representatives: Up $2,000 per plaintiff ($36,000 total)
• Payments to eligible class members: Remainder of the fund

Important dates

• Claim deadline: Aug. 26, 2025
• Opt-out deadline: Aug. 26, 2025
• Fairness hearing: Sept. 29, 2025

When is the NCB Management Services data breach settlement payout date?

Payments will be distributed approximately 60 days after the court grants final approval of the settlement and any appeals are resolved.

Why did this class action settlement happen?

The class action lawsuit alleged NCB Management Services Inc. failed to implement reasonable data security measures, which led to a data breach. The plaintiffs claimed threat actors accessed, compromised or stole their personal information due to NCB's inadequate security.

NCB denies any wrongdoing but agreed to settle to avoid the risks, costs and delays of continued litigation.

Sources

1. Class notice
2. Settlement agreement
3. Settlement FAQs