Judge Approves $425 Million Capital One Settlement Over Savings Account Interest Rate Claims

A judge approved a $425 million settlement in a lawsuit against Capital One, addressing allegations that the bank paid lower interest rates on older 360 Savings accounts while offering higher rates on its 360 Performance Savings accounts. CBS News reported that the settlement applies to Capital One customers who held a 360 Savings account between September 18, 2019, and June 16, 2025, including joint and co-holders of those accounts.

The case involves two types of savings accounts offered by Capital One, with the bank denying any wrongdoing.

In 2019, Capital One rolled out the 360 Performance Savings account, which offered higher interest rates than the older 360 Savings accounts. The lawsuit alleges that Capital One did not clearly inform 360 Savings customers about the newer, higher-rate account or that their existing account was no longer the best option.

Eligible Capital One customers do not need to file a claim to receive a cash payment from the settlement.

Customers could choose to receive their payment electronically instead of by check, with the deadline for that choice being March 30. People who did not opt for electronic payment and whose settlement amount exceeds $5 will receive a check in the mail. If the settlement amount is less than $5, only those who chose electronic payment will receive the money.

Each account holder's payout is based on the extra interest they would have earned if their 360 Savings account had paid the higher rate of the 360 Performance Savings account during the same period. Payments are expected to be sent on or about July 21, barring any legal appeals.