loanDepot Agrees to $25M Data Breach Settlement

If you received a notice from loanDepot regarding a data breach that occurred between January 3-5, 2024, you may be eligible to claim between $5.30 and $70.71 from a class action settlement.

loanDepot has agreed to pay $25 million to settle a class action lawsuit for allegedly failing to protect personal information adequately during the data breach.

Who are eligible for payouts?

There are approximately 16.9 million individuals in the United States who received a notice from loanDepot about the data breach.

To qualify as a class member, you must have been notified that your personally identifiable information (PII) was potentially compromised.

This information may include:

• Names
• Addresses
• Email addresses
• Financial account numbers
• Social Security numbers
• Phone numbers
• Dates of birth

How much can class members get?

Class members can claim various benefits from the settlement:

• Financial Monitoring and Identity Theft Insurance Services: Two years of coverage valued at $12.95 per month.
• Monetary Payment: A cash payment expected to be between $5.30 and $70.71, depending on the participation rate.
• California Subclass Payment: Additional payment for California residents, expected to be between $14.90 and $149.04.
• Out-of-Pocket Costs: Reimbursement up to $5,000 for documented expenses related to the breach.

The monetary payments are subject to a net settlement fund calculation. For example, if 2% of the class participates, the payment could be $34.37.

How to claim an award

Class members will be able to file a claim online or by mailing a completed form to the settlement administrator.

Claim form mailing address: In re loanDepot Data Breach Litigation, c/o Settlement Administrator, 1650 Arch Street, Suite 2210, Philadelphia, PA 19103.

Claimants must provide documentation to support claims for out-of-pocket costs.

For California Subclass members, proof of residency between January 3, 2021, and the filing date is required.

Claim instructions

To claim an award, follow these steps:

1. Visit the settlement website and access the claim form.
2. Complete the form with your personal information and claim details.
3. Attach any required documentation.
4. Submit the form online or mail it to the provided address.

Payout options

• Prepaid card sent to the email address provided.
• Other electronic methods like PayPal, Venmo, or Zelle.
• Physical check mailed to the address on file.

$25 Million Settlement fund

The settlement fund of $25,000,000 will cover:

• Administrative expenses and taxes
• Costs of financial monitoring services
• Monetary payments to class members
• Service awards for class representatives ($2,500 each)
• Attorneys' fees and costs (up to $7,500,000)

Important dates

• Deadline to File a Claim: To be determined.

When is the loanDepot Data Breach payout date?

Awards will be paid after the final approval of the settlement, but the exact date is not specified.

Why is there a class action settlement?

The lawsuit alleges that loanDepot failed to adequately protect customer information, leading to a data breach. The settlement was reached to avoid the risks and expenses of continued litigation.