Fidelity Reaches $2.5M Settlement Over Data Breach Affecting 155,000 Customers
Fidelity Investments settled a class-action lawsuit for $2.5 million following a 2024 data breach impacting 155,000 customers.Summary
Fidelity Investments has proposed a $2.5 million settlement to resolve a class-action lawsuit stemming from a 2024 data breach that compromised the personal and financial information of over 155,000 account holders. The breach, occurring between August 17-19, 2024, exposed sensitive data including names, social security numbers, and financial account details. Customers weren’t notified until October 10, 2024, leading to claims of increased vulnerability to identity theft and fraud. The settlement offers compensation up to $5,000 per claim, two years of credit monitoring and identity theft protection (including $1 million in insurance coverage), and a pro rata cash payment of approximately $100, with an additional $50 for California residents. Fidelity maintains the settlement is not an admission of liability, but a way to avoid further litigation. Final approval is scheduled for a July 9th hearing, after which compensation will be distributed.
(Source：Benzinga)