What Is the Capital One Lawsuit?
The Capital One lawsuit is a federal multidistrict litigation consolidating claims that Capital One misled 360 Savings account holders about their interest rate, formally captioned In re: Capital One 360 Savings Account Interest Fee Litigation, MDL No. 3111, in the U.S. District Court for the Eastern District of Virginia.
The Judicial Panel on Multidistrict Litigation centralized seven related actions from six federal districts into MDL 3111 on June 7, 2024, assigning the litigation to Judge David J. Novak because Capital One is headquartered in McLean, Virginia, within that district.
Capital One, N.A. and Capital One Financial Corporation are the named defendants. Both entities are part of the same Capital One banking group, and the litigation targets their marketing and interest-rate practices for the 360 Savings deposit product specifically, not the company's credit card or lending businesses.
“The actions share common questions of fact arising from allegations that Capital One misled holders of its 360 Savings Account into believing that they were earning a higher interest rate than they were, in large part by offering, since September 2019, the similarly-named 360 Performance Savings account, which paid a higher interest rate than the 360 Savings account.”
Source: U.S. Judicial Panel on Multidistrict Litigation, In re: Capital One 360 Savings Account Interest Fee Litigation, MDL No. 3111, Transfer Order, Document 22 (June 7, 2024)
Why Are People Filing Capital One Lawsuits?
People filed Capital One lawsuits because plaintiffs allege the bank froze the 360 Savings account's interest rate at a low level while quietly offering a nearly identical, higher-paying account under a different name. The JPML's own transfer order describes this as the shared factual thread across every consolidated action.
According to the consolidated complaint, Capital One introduced the 360 Performance Savings account in September 2019 and paid it a meaningfully higher rate, at one point 4.35% APY between April and September 2024, compared with as little as 0.30% APY on the older 360 Savings account, without clearly disclosing the newer product or its rate advantage to existing 360 Savings customers.
Plaintiffs pled claims for breach of contract, breach of the covenant of good faith and fair dealing, unjust enrichment, and violation of state consumer protection laws, arguing Capital One's marketing and account-management practices, not any single misrepresentation, kept longtime customers earning far less than newer customers on what was functionally the same product.
What Injuries Are Included in the Capital One Lawsuit?
The Capital One lawsuit alleges one primary category of financial harm: 360 Savings accountholders lost out on interest income they would have earned had Capital One paid them the same rate as 360 Performance Savings customers. The definition below explains the underlying legal and financial concept in plain language.
Lost Interest Income
Lost interest income is the difference between the interest a depositor actually earned and the interest they would have earned had their account paid a market-competitive or comparable rate.
The complaint alleges Capital One's rate gap between 360 Savings and 360 Performance Savings, at times more than four percentage points, compounded over months and years for accountholders who were never told a higher-paying, functionally identical account existed. The settlement's Class Cash Payment is intended to compensate for this lost interest, calculated from each accountholder's own balance and account history rather than a flat per-person amount.
Who Qualifies for the Capital One Lawsuit?
You may qualify if:
- You held a Capital One 360 Savings account, individually or as a joint or co-holder, at any time from September 18, 2019 through June 16, 2025 (the certified settlement class period)
- Your account is on file with Capital One's own records, which the settlement administrator uses to calculate and issue payments automatically
You may not qualify if:
- You never held a 360 Savings account during the class period, or you held only a 360 Performance Savings account and were never subject to the older, lower-rate product
- You properly and timely excluded yourself (opted out) from the settlement class
Only a qualified attorney or the settlement administrator reviewing your specific account records can confirm your individual eligibility and payment amount. This summary describes the settlement class definition, not a guarantee of any specific payout.
What Is the Current Status of the Capital One Lawsuit?
The current status of the Capital One MDL is a fully negotiated, court-approved settlement following one earlier rejection, with Class Cash Payments now issuing to the certified class described below.
In re: Capital One 360 Savings Account Interest Fee Litigation, MDL No. 3111
The Judicial Panel on Multidistrict Litigation centralized seven actions from six federal districts into MDL 3111 in the Eastern District of Virginia on June 7, 2024, assigning Judge David J. Novak to oversee coordinated pretrial proceedings. A first proposed $425 million settlement did not survive court review; Judge Novak rejected it in November 2025 as insufficient for accountholders who had earned the lowest rates. An enhanced $425 million settlement was subsequently negotiated and reached final approval, with a new preliminary-approval class period running through June 16, 2025.
| Proceeding Type | Federal multidistrict litigation, 28 U.S.C. § 1407 |
| Court | U.S. District Court, Eastern District of Virginia |
| Judge | David J. Novak |
| MDL Created | June 7, 2024 (7 actions from 6 districts) |
| Defendants | Capital One, N.A. and Capital One Financial Corporation |
| Settlement Status | Enhanced settlement approved after an earlier deal was rejected in November 2025 |
How Much Will I Get From the Capital One Lawsuit Settlement?
The Capital One settlement fund totals $425 million, but individual Class Cash Payments vary by accountholder rather than a single flat amount. Payments are calculated from each class member's own 360 Savings balance and account history during the class period, so two accountholders with different balances or account durations will generally receive different amounts.
$425 million is the court-approved settlement fund total, a checkable, definitive figure. The exact amount any individual accountholder receives depends on their own account records and is calculated by the settlement administrator, not published here as a fixed number, since only that calculation can confirm it.
No claim form is required for the base Class Cash Payment; eligible class members are paid automatically, generally by check unless they affirmatively select electronic payment through the settlement website.
Capital One Lawsuit Updates
Here is the current status of the Capital One lawsuit, updated with new filings, rulings, and settlement developments as they're confirmed.
Full Capital One Lawsuit Timeline
Capital One Matches 360 Savings Rates to Performance Savings
Capital One raised the 360 Savings Account APY to match the 360 Performance Savings rate on August 4, 2026, fulfilling the settlement's forward-looking rate-parity term for every current accountholder regardless of the pending appeal over cash payments.
Class Cash Payments Begin Reaching Accountholders
Capital One's settlement administrator began issuing automatic Class Cash Payments to eligible 360 Savings accountholders around July 21, 2026, with amounts calculated from each accountholder's own balance history rather than a flat per-person figure.
An Objecting Class Member Appeals the $425 Million Settlement Approval
A class member who objected to the Capital One 360 Savings settlement filed a Notice of Appeal of the Final Order and Judgment with the Fourth Circuit. The appeal put the originally scheduled July 21, 2026 payout on hold, and Capital One's settlement administrator has not set a new distribution date while the appeal remains pending.
Enhanced $425 Million Settlement Reached
Capital One and class counsel reached a new, enhanced $425 million settlement in the 360 Savings interest-rate litigation, replacing the earlier proposal the court had rejected and expanding the benefits available to the settlement class.
Judge Novak Rejects the First Proposed $425 Million Settlement
U.S. District Judge David J. Novak rejected the first proposed $425 million settlement in MDL 3111 on November 7, 2025, finding it would not adequately compensate 360 Savings customers who had earned the lowest interest rates, and left open the possibility the case could go to trial in July 2026 if a new deal was not reached.
JPML Centralizes Seven Actions Into MDL 3111
The U.S. Judicial Panel on Multidistrict Litigation centralized seven Capital One 360 Savings interest-rate actions from six federal districts into MDL No. 3111 in the Eastern District of Virginia, assigning Judge David J. Novak to preside over coordinated pretrial proceedings.
Capital One Launches the Higher-Paying 360 Performance Savings Account
Capital One began offering the 360 Performance Savings account on September 18, 2019, the same account plaintiffs allege paid a meaningfully higher interest rate than the older 360 Savings account without adequate disclosure to existing customers, and the date that opens the settlement class period.
How to File a Capital One Lawsuit
These 4 steps outline how to file a Capital One lawsuit.
- Confirm you held a 360 Savings account during the class period: Eligibility covers anyone who held a Capital One 360 Savings account, including as a joint or co-holder, from September 18, 2019 through June 16, 2025.
- Check the settlement website for your payment status: The official settlement site lists whether a Class Cash Payment has been calculated for your account, since payments are issued automatically from Capital One's own account records.
- Select electronic payment if you prefer it to a mailed check: Class members who want direct electronic payment instead of a mailed check can make that selection through the settlement website; those who already selected it under the earlier, rejected settlement generally do not need to select it again.
- Consult a qualified attorney if your payment seems incorrect: Only an attorney reviewing your specific account records, or the settlement administrator directly, can confirm whether a payment amount accurately reflects your account history.
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What Did Capital One Allegedly Know About the Interest Rate Gap?
Plaintiffs allege Capital One knew it was paying meaningfully different interest rates on two nearly identical savings products and chose not to clearly disclose that gap to its older 360 Savings customers. Capital One has denied wrongdoing throughout the litigation while agreeing to the settlement.
The Consumer Financial Protection Bureau separately investigated Capital One's savings-account interest-rate practices, alleging the bank misled customers about the 360 Savings account specifically to avoid paying it competitive rates; that federal regulatory matter proceeded on a separate track from the MDL 3111 class litigation and was later dropped by the CFPB. Capital One is required under the settlement to match interest rates between the 360 Savings and 360 Performance Savings account types going forward.
How Does the 360 Savings Case Compare to Other Capital One Legal Matters?
Capital One has faced several distinct, legally separate matters that share the company's name but are not part of the 360 Savings interest-rate MDL described on this page. Each is listed below for disambiguation only; none of their details are part of MDL 3111's own claims, class, or settlement.
| Matter | What It Involves | Relationship to This Case |
|---|---|---|
| 2019 Capital One data breach litigation | A 2019 hacking incident exposing personal data for roughly 100 million U.S. credit card applicants and customers, resolved for a reported $190 million settlement in earlier years | Separate case, separate facts (data security, not interest rates), already resolved |
| Capital One FCRA deceased-reporting settlement | A roughly $2.4 million settlement resolving claims Capital One incorrectly reported some credit card holders as deceased to credit reporting agencies | Separate case under a different federal statute (Fair Credit Reporting Act), unrelated to 360 Savings |
| Capital One-Discover merger litigation | A group of Capital One customers sued to try to block Capital One's roughly $35 billion acquisition of Discover Financial | Separate antitrust-style dispute over a corporate acquisition, not a savings-account interest-rate claim |
Frequently Asked Questions
What is the Capital One lawsuit about?
The Capital One lawsuit is a federal multidistrict litigation, MDL No. 3111, alleging Capital One kept interest rates artificially low on its 360 Savings account while marketing a nearly identical 360 Performance Savings account at a meaningfully higher rate, without adequately disclosing the difference to existing customers.
Is the Capital One lawsuit a class action?
Yes. MDL No. 3111 consolidates putative nationwide and statewide class actions on behalf of current and former 360 Savings accountholders, and the settlement now paying out was reached and approved on a class-wide basis in the Eastern District of Virginia.
Has the Capital One lawsuit settled?
Yes, after one rejection. A first proposed $425 million settlement was rejected by Judge David J. Novak in November 2025 as inadequate, and an enhanced $425 million settlement was later negotiated, approved, and is now issuing Class Cash Payments automatically to the settlement class.
Do I need to file a claim to get paid?
No claim form is required for the base Class Cash Payment. Eligible 360 Savings accountholders from the September 18, 2019 through June 16, 2025 class period are paid automatically, calculated from their own account records, though they may select electronic payment instead of a mailed check through the settlement website.
Is the 2019 Capital One data breach the same lawsuit as this one?
No. The 2019 data breach litigation is a separate, already-resolved case about a hacking incident affecting roughly 100 million customers' personal data, legally distinct from MDL No. 3111's interest-rate claims about the 360 Savings account, even though both involve Capital One as defendant.
Why was the first Capital One settlement rejected?
Judge David J. Novak rejected the first proposed $425 million settlement in November 2025 because he found it would not adequately compensate 360 Savings customers who had earned the lowest interest rates, which led to a new, enhanced settlement being negotiated in its place.