Equifax data breach settlement

I never signed up for free Equifax monitoring even back when I saw I was compromised.

Like I want the same incompetents who failed to protect me once...
 
I have had Credit Karma for years. My information came up as compromised. Signed up for the $125. Most problems have been card compromises with Chase and one with Elan. Probably not related to this.

I do feel like I am being paid $125 to allow Equifax to put me in a marketing database to be sold "services" by them and whoever they sell the information to. But what the heck, that will probably happen anyway, so at least I will get paid.
 
I just read something that said that the $125 was based on a finite settlement dollar amount divided by an expected number of people to choose the payment option instead of the credit monitoring. The amount anticipated was just under 250,000 people. So, if a million people sign up for the payment, you’ll get one quarter of the estimated amount. I’m guessing no one is going to see anything close to $125. I’m thinking the credit monitoring has the better value, but as Robbie pointed out, who’s protecting you? The same people who screwed up in the first place. Plus, if all you’re getting is, as others have mentioned, a free service that will constantly pester you to upgrade (sell you stuff), what’s the point. I’m apparently effected, but I’ll pass. Somehow I still think the Fox is watching the chicken coop.

From the settlement site FAQ 10:
If there are more than $31 million claims for Alternative Reimbursement Compensation, all payments for Alternative Reimbursement Compensation will be lowered and distributed on a proportional basis.

$31M/$125=248,000. So if any more than 248K people claim this option, the amount will be reduced.

I might look into the credit monitoring because it does cover all three major agencies, however, I’m not too encouraged that this is all on the up and up.
 
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Jerry1 said:
I just read something that said that the $125 was based on a finite settlement dollar amount divided by an expected number of people to choose the payment option instead of the credit monitoring. The amount anticipated was just under 250,000 people. So, if a million people sign up for the payment, you’ll get one quarter of the estimated amount. I’m guessing no one is going to see anything close to $125. I’m thinking the credit monitoring has the better value, but as Robbie pointed out, who’s protecting you? The same people who screwed up in the first place. Plus, if all you’re getting is, as others have mentioned, a free service that will constantly pester you to upgrade (sell you stuff), what’s the point. I’m apparently effected, but I’ll pass. Somehow I still think the Fox is watching the chicken coop.

From the settlement site FAQ 10:
If there are more than $31 million claims for Alternative Reimbursement Compensation, all payments for Alternative Reimbursement Compensation will be lowered and distributed on a proportional basis.

$31M/$125=248,000. So if any more than 248K people claim this option, the amount will be reduced.

I might look into the credit monitoring because it does cover all three major agencies, however, I’m not too encouraged that this is all on the up and up.
Click to expand...

From https://www.equifaxbreachsettlement.com/faq, item 16:

"If the payments described in FAQ 6 use up the Consumer Restitution Fund, Equifax will add up to $125,000,000 as needed to pay valid claims for Out-of-Pocket Losses."

That seems to be different that whatever site you're quoting from.
 
COcheesehead said:
I think what is confusing to everybody is you can complete the form and select the method of payment without uploading anything. It doesn't stop you from completing if you don't upload documentation, but I bet you won't get anything since all the instructions say

"It is important for you to send documents that show what happened and how much you lost or spent, so that you can be repaid (except for money you may have spent on Equifax subscription products as explained below). If they are the same as the documents you attached in Section 2, you do not need to upload them again."
Click to expand...


I thought this was a good article explaining the process:

https://arstechnica.com/tech-policy...st-125-from-the-equifax-settlement-right-now/

For the $125 or credit monitoring option you don't have to provide any proof. You just have to be in the database as being affected. You have to have some alternative way of credit monitoring.

Then you can also claim for any money lost or time spent. For time spent, if it is less than 10 hours you describe what you did and long it took. If it is more than 10 hours you have to describe and provide supporting documents.

Then you can claim for any money lost or spent. For that you need documents. I think you are talking mostly about this section 3 but most people on here have been talking about Sections 1 and 2.
 
Both DW and I were affected. I have monitoring from the OPM breach and from my last j*b. we'll take the $250.
 
Update

Jerry1 is correct on the limit. Here’s a copy of the FTC settlement document https://www.ftc.gov/system/files/documents/cases/172_3203_equifax_proposed_order_7-22-19.pdf

Page 36, Section C: Subject to Section IX.D, payments from the Consumer Fund shall be subject to the following limitations, point 2 reads
2. No more than Thirty-One Million Dollars ($31,000,000) shall be used to pay Alternative Reimbursement Compensation (the “Alternative Reimbursement Compensation Cap”). To the extent valid claims for Alternative Reimbursement Compensation exceed the Alternative Reimbursement Compensation Cap, then payments for valid Alternative Reimbursement Compensation claims shall be reduced on a pro rata basis.
Click to expand...

“Alternative Reimbursement Compensation” is the term used to describe the $125 reimbursement option. A quick calculation shows 248k claims maxes out the $31 million, if more claims are filed the per capita amount falls.

Hopefully, most claims will be for the extended credit monitoring.
 
There have been a lot of news items posted about the settlement and how to file a claim. I wouldn’t be surprised if the cap on the $125 claim is exceeded.

I think if that happens, claimants who don’t receive the full amount should be compensated by a pro-rated term of free credit monitoring.
 
Draggon said:
Thanks for the info, MichaelB. I've been meaning to look into it since the settlement details started hitting the headlines but hadn't had a chance yet. I appreciate the concise summary. Unfortunately, both DW and myself were affected. Luckily, nothing adverse in our credit reports to date. What a mess...
Click to expand...

Yes, thank you for posting the link.
 
Signed up yesterday for DGF, DF and I. Easy money I suppose.
 
Shortly after the Equifax breach someone who had my SS number, address, etc got my Social Security deposit rerouted to their bank account. I spent about 6 months of time to get my SS payments beck (finally got it straightened out by contacting my Congressman). Working with the local SS office was AWFUL. I spent tons of time (and some money for travel, etc) straightening it out. I have many documents I can upload on the website. I am going for the full max $20,000. Doubtful I can get that much since after 6 months I finally got my back SS payments but I am going for what I can get. The Equifax breach put me through the wringer, I still have some PTSD from it.
 
It’s the most confusing form, intentionally, I think. The amount o& time necessary to document the breach I was not aware of... it wouldn’t pay me to send them anything. But I signed up, because they said I was affected. I’ll be surprised if I get anything from them. Very sorry for anyone who suffered serious losses!
 
ziggy29 said:
Except that the "up to $125" will probably be a lot less. The settlement caps damages so if a lot of people apply, we may be lucky to see $10.
Click to expand...

I just took another look, as all I recall seeing was "$125", not anything about "up to $125", or any other caveats. Well, look at this wording ( a direct copy/paste, no emph/caps added/deleted):

https://www.ftc.gov/enforcement/cases-proceedings/refunds/equifax-data-breach-settlement


"Up to 10 years of free credit monitoring OR $125 if you decide not to enroll because you already have credit monitoring. The free credit monitoring includes:"​


So I saw "OR $125", not "OR up to $125". One could argue that the "up to" refers only to years of free credit monitoring. They hire professionals to write this stuff, there are millions of dollars involved, they should add those two words to make it unquestionably clear. I think this is another case where the English language is vague, or at least most people's understanding of the English language would render this vague.

If the $125 ends up being much less, they will have another PR issue on their hands. I guess they will never learn. But I really have no practical choice in not doing business with them, do I?

-ERD50
 
GalaxyBoy said:
I find it interesting that if you happen to be spending the year on a desert island and don't file for the money or the credit monitoring (or choose to opt out), you give up all rights to sue in the future and you get nothing.

https://www.cnn.com/2019/07/26/us/equifax-breach-settlement-questions-answered-trnd/index.html



Perhaps this is standard operating procedure? I suppose that otherwise people would be coming out of the woodwork for decades to come.
Click to expand...

You can opt out of the class action and bring suit on your own. I don't think many people will be doing that.

Also, you can't "come out of woodwork for decades"...there are statutes of limitations to keep that from happening.
 
Update

The FTC has a blog post this morning, here. This is of interest for two reasons.

First, the FTC acknowledges the possibility the $125 per person may be paid out at a much lower rate and recommends the credit monitoring option.

Second, it confirms people who chose the $125 still have the option to change and select the credit monitoring.
For those who have already submitted claims for this cash payment, look for an email from the settlement administrator. They’ll be asking you for the name of the credit monitoring service you already have. Or, if you want to change your mind, you’ll have a chance to switch to the free credit monitoring.
Click to expand...
 
It is entirely logical that the settlement fund would be capped. What rational company would agree to a settlement with an open ended payment? On the other hand, I was sort of hoping that Equifax would be driven out of business.
 
There is a cap though. 147 million people. It doesn't look like you can file if they say you weren't affected.
 
And the text in the on-line application was "Up to 10 years of free credit monitoring OR $125 if you decide not to enroll because you already have credit monitoring. The free credit monitoring includes:"

So if we switch to credit monitoring, will there be an announcement "due to the large number of applicants for credit monitoring, we have had to reduce the up to 10 year period to 7.6 days. We hope this isn't an inconvenience for you, it wasn't for us".

:mad:

-ERD50
 
MichaelB, thanks for the update.

So here's a SWAG:

147M people affected
70% never claim any part of the settlement
That leaves 44M people who claim
Half of them take the monitoring
That leaves 22M taking the cash
$31M / 22M people = $1.41 per person

Evidently, the $125 figure is based on 248K people taking the cash ($31M/$125), which is 0.17% of the 147M affected. Maybe my 15% (above) is a bit high but... 0.17%??

Perhaps the poor wording pointed out by ERD50 was intentional to get people to take the cash, which would limit the larger ongoing cost of monitoring.

I already claimed the cash, thinking it was a fixed $125 for each of us. But if 147M people all claimed the $125, it would be $18.4B, which is obviously a different universe compared to $31M. Pretty sure I'll change to monitoring when the time comes.
 
Cobra9777 said:
MichaelB, thanks for the update.

So here's a SWAG:

147M people affected
70% never claim any part of the settlement
That leaves 44M people who claim
Half of them take the monitoring
That leaves 22M taking the cash
$31M / 22M people = $1.41 per person

Evidently, the $125 figure is based on 248K people taking the cash ($31M/$125), which is 0.17% of the 147M affected. Maybe my 15% (above) is a bit high but... 0.17%??

Perhaps the poor wording pointed out by ERD50 was intentional to get people to take the cash, which would limit the larger ongoing cost of monitoring.

I already claimed the cash, thinking it was a fixed $125 for each of us. But if 147M people all claimed the $125, it would be $18.4B, which is obviously a different universe compared to $31M. Pretty sure I'll change to monitoring when the time comes.
Click to expand...
My guess is your math is a reasonable look at what might happen.


The wording of the agreement (linked earlier in the thread) may be a subtle effort to push consumers into taking the award. There is no cap on the 4 years of credit monitoring, it is to be administered by a third party, and Equifax receives no compensation for the monitoring.
 
I already claimed the $125 option. Has anyone gone back and changed to the credit monitoring option? If so, how did you do that?
 
The FTC updated the settlement page as well. It dropped the $125 option completely, and in the FAQ (here) says
5. I thought I could choose $125 instead of free credit monitoring. What happened?
The public response to the settlement has been overwhelming. Millions of people have visited this site in just the first week. Because the total amount available for these alternative payments is $31 million, each person who takes the money option is going to get a very small amount. Nowhere near the $125 they could have gotten if there hadn’t been such an enormous number of claims filed.

The free credit monitoring provides a much better value, and everyone whose information was exposed can take advantage of it. If your information was exposed in the data breach, and you file a valid claim before the deadline, you are guaranteed at least four years of free monitoring at all three credit bureaus (Equifax, Experian, and TransUnion) and $1,000,000 of identity theft insurance, among other benefits. The market value of this product is hundreds of dollars per year.

You can still choose the cash option on the claim form, but you will be disappointed with the amount you receive and you won’t get the free credit monitoring.
Click to expand...

FAQ 6 addresses how to change the option if already filed
6. I want to change my claim to get free credit monitoring instead of a cash payment. Can I do that?
Yes. The settlement administrator will be sending an email to people who already submitted a claim for the alternative cash payment. In that email, you will have the option to:
1) provide additional information OR
2) switch to free credit monitoring.

We will update this page with more information after the email goes out.

You also can send an email to info@EquifaxBreachSettlement.com to make a change to your claim.
Click to expand...
 
Wow. Not surprising. Word about free money travels fast nowadays.

Funny thing is... sticking with the cash settlement might still be worth something if everyone reacts to this announcement as expected. Obviously no one is going to sign up for the cash going forward. And a large chunk of the "millions of people" who already claimed cash are now going to change to monitoring. Maybe "most" of them. So the cash settlement per person is going to increase from wherever it is now, probably sub-$10. I doubt it will get back to $125, but who knows, maybe $50.

I'll still likely change to monitoring. A million of identity theft insurance might have some value.
 
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