A federal judge has approved a $425 million settlement resolving a lawsuit that accused Capital One of paying higher interest rates on new savings accounts than on similar existing ones. If there is no appeal, eligible customers are expected to receive settlement payments on or about July 21.
The money will go to people who held a Capital One 360 Savings account at any point from Sept. 18, 2019, through June 16, 2025, unless they asked to be excluded. Joint account holders are included, and they do not need to file a claim. Capital One denied wrongdoing.
Capital One launched 360 Savings accounts in 2013, then introduced 360 Performance Savings in 2019 and stopped offering new 360 Savings accounts. Existing 360 Savings accounts stayed open, but the newer account carried a higher yield. At one point, Capital One was paying 4.35% APY on 360 Performance Savings and 0.30% APY on 360 Savings.
The settlement is built around the gap between those two products. New York Attorney General Letitia James announced the lawsuit in May 2025 and said, “Capital One assured high returns with no catches, then pulled the rug out from under their customers and hoped nobody would notice.”
Capital One will send cash payments based on the interest customers would have earned if their 360 Savings accounts had matched the rate on 360 Performance Savings. It will also begin paying the same rate on both accounts going forward. Customers who did not choose electronic payment by March 30 will not receive anything if their share is under $5; if it is above that amount, a check will be mailed to the last known address.
The deal closes the immediate legal fight, but it also forces Capital One to erase the pricing difference that triggered it in the first place. For account holders, the compensation is coming only after years of earning far less than newer customers on accounts that were supposed to be alike.
