You can now claim up to $7,500 from AT&T's $177 million settlement — key details revealed

User data is a crucial resource for businesses, and it's also something that cybercriminals try to extract. After two data breaches by such cybercriminals that affected 180 million accounts, AT&T has agreed to pay $177 million. Current and former AT&T customers may be eligible for compensation, but must file claims soon as the deadline is approaching. The breaches involved the exposure of account information and detailed metadata from calls and texts in 2024. Eligible customers are requested to check for notices from the settlement administrator, Crawl, or visit telecomdatasettlement.com to file their claims before December 18.

As per USA Today, two data breaches in 2024 were caused by the telecom company's failure to protect consumer information. Customer data, including addresses, Social Security numbers, and passcodes were made public on the dark web in the initial breach on March 30. On July 12, there was a second incident where call and text details belonging to customers were illegally downloaded. Over 7 million AT&T subscribers in 2024 and over 65 million between 2019 and 2024 were affected by the breaches. However, AT&T denied the breach and told the publication in a statement that it is "committed to protecting customers' data and ensuring their continued trust." The telecom giant further added that it consented to the public settlement in order to prevent future legal trials. 

A court ruling has changed the original AT&T Data Incident Settlement claim deadline from November 18 to Thursday, December 18. By this date, claims must be submitted online or by mail. Customers who meet the requirements can submit claims by mail to AT&T Data Incident Settlement, c/o Kroll Settlement Administration LLC, P.O. Box 5324, New York, NY 10150-5324, or online at telecomdatasettlement.com. Due to data breaches, two sets of AT&T customers are eligible for settlement claims, including those impacted on March 30, 2024, and those impacted on July 12, 2024. Certain clients might fit into both groups. Customers can also call 1-833-890-4930 with questions regarding their eligibility.

Depending on their settlement class, customers will get different payment amounts. Up to $7,500 might be awarded to anyone impacted by both data breaches. Customers may claim up to $5,000 through a verified loss compensation option for the incident that occurred on March 30, 2024. For customers whose Social Security numbers are impacted, there is a Tier 1 payment; for those who do not, there is a Tier 2 payout. The value of Tier 1 is five times that of Tier 2. Customers may make the following claims for the July 12, 2024, breach. Up to $2,500 through a documented loss option. However, Tier 3 payouts will be determined after administrative expenses and claims are settled.

More on Market Realist:

Here's why Walmart has Agreed to pay $45 Million as Settlement to Customers

Starbucks to pay $38.9 million settlement after it violated New York's labor laws

Apple users could get paid in $95 million settlement over Siri complaints — check if you're eligible