AT&T customers affected by two major data breaches in 2024 could soon receive payments of up to $5,000 after a federal judge granted final approval to a $177 million class action settlement.
The settlement follows two cybersecurity incidents that exposed customer information, leading to a lawsuit accusing AT&T of failing to implement adequate security measures to protect personal data.
A federal judge in the US District Court for the Northern District of Texas approved the settlement on October 2, 2026, bringing affected customers closer to receiving compensation. AT&T has denied any wrongdoing.
When will AT&T settlement payments be sent?
The settlement stems from two separate data breaches disclosed by AT&T in 2024. The first was announced on March 30, 2024, when the company revealed that customer information had appeared in a data set released on the dark web.
A second incident was disclosed on July 12, 2024, after limited customer data was illegally downloaded from an AT&T workspace hosted on a third-party cloud platform.
Following the breaches, affected customers were given the opportunity to file claims for compensation through a $177 million settlement.
Unsplash: frame_mediaThe deadline to submit a claim was December 18, 2025, meaning customers who did not file before that date can no longer submit a new claim.
However, those who submitted valid claims could begin receiving payments in the coming weeks.
If no appeals are filed, the settlement is expected to become effective on November 12, 2026. Payments must then be distributed within 60 days of the effective date, either electronically or by paper check.
This means eligible customers could receive their money before the end of 2026, although some payments may not arrive until January 2027.
How much money will AT&T customers receive?
The amount customers receive depends on which data breach affected them and whether they provided documentation of financial losses.
Customers who qualified for the first settlement class and documented losses occurring in 2019 or later could receive up to $5,000. Those in the second settlement class who documented losses occurring on or after April 14, 2024, could receive up to $2,500.
Eligible customers also had the option to request a proportional share of the remaining settlement fund instead of submitting documentation of financial losses.
Unsplash: sharonmccutcheonThese payments will depend on how much money remains after settlement administration costs, attorneys’ fees, and other approved expenses are deducted.
The maximum payments are not guaranteed, and the final amount each customer receives will depend on their eligibility and approved claim.
Customers who submitted claims before the deadline can check the settlement status and find additional information on the official Telecom Data Settlement website.
AT&T isn’t the only company compensating customers after concerns about how it handled personal information.
In September 2025, Facebook began distributing payments from its $725 million privacy settlement, with eligible users receiving an average of around $30 after submitting claims.
