Millions of AT&T customers could soon receive payments from a $177 million settlement stemming from two lawsuits over massive data breaches that exposed customers’ personal information.
The settlement resolves claims tied to a 2019 breach in which information belonging to about 7.6 million current AT&T customers, and 65.4 million former customers, was found on the “dark web,” The Hill reports.
The second case stems from a 2022 breach in which data from nearly all AT&T customers was downloaded to a third-party platform.
A federal court gave the settlement final approval last Friday, clearing the way for payments to approved claimants. The settlement includes a $149 million fund for the 2019 breach and a $28 million fund for the 2022 breach.
How much customers receive depends on which breach affected them and what type of claim they filed. While some eligible claimants could receive up to $7,500 for documented losses, most payments will be considerably smaller.
More than 4.9 million claims were submitted before the December 18, 2025 deadline, according to court documents he Hill reported. The filing deadline has since passed and new claims can no longer be filed.
Nearly 1.1 million claims were rejected because they were late, duplicates, fraudulent, withdrawn, ineligible or otherwise did not qualify. More than 3 million were approved.
Customers whose Social Security numbers were exposed in the 2019 breach qualified for Tier 1 payments, which are expected to be around $39. More than 1.6 million Tier 1 claims were approved, according to The Hill.
People whose other personal information was exposed in the 2019 breach, but whose Social Security numbers were not, qualified for Tier 2 payments of around $7.50. More than 680,000 Tier 2 claims were approved.
Customers affected by both breaches could also qualify for Tier 3 payments, which are expected to range from about $6.50 to $7.10. More than 1.5 million Tier 3 claims were approved.
The $7,500 maximum was reserved for people who could provide proper documentation showing they suffered losses that could be fairly traced to the data breaches. It was not a guaranteed payment for everyone who filed a claim.
AT&T previously denied the allegations in the suits but agreed to the settlement, saying it wanted to avoid the cost and uncertainty of continuing the litigation.
The cases stem from two separate incidents that came to light years apart. The first involved sensitive customer information that appeared on the dark web. The second involved customer data that was downloaded from a third-party platform and included information related to customers' calls and texts.
Approved claimants may not have to wait much longer for their money. The October 2 court order calls for payments to be distributed within 60 days after the settlement's effective date, although the timing could depend on whether additional objections or appeals are filed.
An official payment date has yet to be made public. Payments can be distributed after the claims process and appeals period are completed.
Customers who already submitted claims do not need to file another one. They can check the settlement administrator's website for updates on their claim and payment status.
The Independent has contacted AT&T for comment.
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