Plaid: The service owes users tens of millions of dollars. You probably used it too

Coinbase users, for example, are very likely to be among our readers. This and many other applications, such as Venmo, Acorns a Robinhood, uses the Plaid service to link bank account information. According to information released on theverge.com, the service owes tens of millions of dollars to users for privacy issues.

Plaid pays users $ 58 million, but it has one catch

The class action against the Plaid service has been definitively closed. The company was accused of collecting more user banking data than was actually needed.

The service allegedly obtained bank credentials through its interface Plaid Link. According to the information, this should look like the login screen of the internet banking that the user is actually using. This means that users have “provided” their information directly to Plaid. The company still denies these allegations and advocates full transparency.

The company will distribute $ 58 million to several million users, so no high compensation is to be expected. Also, this only applies to users living in the U.S. who have signed up for apps using this service since January 1, 2013 do November 19, 2021. A complete list of applications used by Plaid at the time was also published.

Affected users have been contacted by e-mail regarding financial compensation and are entitled to claim it by April 28, 2022.