Some AT&T customers may soon receive money from the telecom company’s $177 million data breach settlement.
Customer information was stolen from the company and later posted on the dark web, exposing details such as Social Security numbers and birth dates. Across the two AT&T breaches, nearly 100 million settlement-class records were affected, making the case one of the biggest data breach settlements in recent years. Some customers were impacted by both incidents.
The company faced two major breaches in 2024, and the settlement resolves both cases. AT&T agreed to pay $177 million, while continuing to deny liability and wrongdoing.
“While we deny the allegations in these lawsuits that we were responsible for these criminal acts, we have agreed to this settlement to avoid the expense and uncertainty of protracted litigation,” the company said.
AT&T has also said the main breach happened in March and that affected customers were notified then.
When will affected AT&T customers receive payment?
A federal court granted final approval in early October. If there are no appeals, the settlement will take effect in mid-November.
After that, payments are expected to be sent out within 60 days of the effective date, which could place distribution in early 2027.
The claim deadline has already passed, so people who did not file in time will not be eligible for a payout.
Customers who submitted claims can find updated information at TelecomDataSettlement.com.
How much could AT&T customers receive?
The first incident, known as AT1, has a $149 million settlement fund, while the second, AT2, is backed by $28 million.
Estimated payouts are listed below:
- Tier 1: $39 to $40. This covers customers whose Social Security numbers were exposed in the first breach.
- Tier 2: $7.50 to $8.10. This applies to people whose Social Security numbers were not exposed in AT1, but whose information was still leaked.
- Tier 3: $6.50 to $7.10. This includes customers whose data was exposed in the second breach.
Customers who can document financial losses may qualify for much larger payments. Claims tied to the first breach could reach up to $5,000, while those connected to AT2 may be worth as much as $3,000.
To receive those higher amounts, claimants had to show that the losses were linked to the data breaches.
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