Flagstar Bank Settles Data Breach Lawsuit, Offers Up to $25K to Claimants
Flagstar Bank has agreed to a $31.5 million settlement following a class-action lawsuit related to two significant data breaches in 2021. These breaches exposed sensitive information of over 2.1 million users. The settlement allows affected individuals to claim compensation ranging from $100 to $25,000, depending on the extent of their losses. The breaches, which occurred in January and December 2021, led to claims that Flagstar failed to adequately protect user data and delayed notifying affected individuals. The settlement was reached through mediation, allowing Flagstar to avoid a prolonged trial.