Bank customers hit by data breach may get up to a $12,500 payout

Union Bank & Trust Co. has been accused of failing to protect customer information, and now it is paying a high price. Affected customers can claim up to $12,500 from a $2.39 million settlement fund.

A third party breached the bank's file transfer system

Union Bank & Trust Co. had its bank file transfer system, called MOVEit, breached in May 2023. Customers' personal information, such as Social Security numbers, was accessed during the breach.

In the lawsuit, the plaintiffs claimed that the bank could have taken stronger security steps to make sure their personal data was kept safe.

Even though the bank agreed to the settlement payout, it hasn't admitted to any wrongdoing.

Plaintiffs can claim up to $12,500 in the payout

The cash payout for plaintiffs can be as high as $2,500 and $100 for time lost. This is meant for plaintiffs who suffered ordinary losses.

Those who endured "extraordinary" losses can claim up to $10,000 . You can also make a claim for both extraordinary and ordinary losses. This means your payout could be as high as $12,500.

The catch is that you need to have all your receipts and statements that prove your loss.

Act fast to get your payout

Plaintiffs need to act fast to secure their share of the payout. Claim forms need to be submitted by July 21, 2026.

Payments will start going out sometime after the Aug. 6 final approval hearing.

Union Bank & Trust Co. isn't the first bank to go through this kind of lawsuit. If you remember the data breach that Cadence Bank in the Midwest and Southeast was accused of, it sounds very familiar.

That breach also happened in May 2023 and involved its online banking system.

Stay alert when it comes to your bank

Data breaches are becoming increasingly common, which should serve as a good reminder to stay alert about your personal information and banking.

Sources: The U.S. Sun,