$86 Million loanDepot Settlement Reached in Data Breach Class Action Lawsuit

New to ClassAction.org? Read our Newswire Disclaimer

LoanDepot has agreed to pay more than $86 million to settle a proposed class action lawsuit that claimed negligent cybersecurity was to blame for a January 2024 data breach.

Don’t miss out on settlement news like this. Sign up for ClassAction.org’s free weekly newsletter here.

The loanDepot settlement covers roughly 16,924,000 people in the United States who were sent an individualized notice from loanDepot that their personally identifiable information may have been impacted or otherwise compromised by the data breach.

The court-approved website for the $86,607,410 class action settlement can be found at loanDepotBreachSettlement.com.

To receive loanDepot data breach settlement benefits, class members must submit a valid claim form online or by mail by May 27, 2025.

Head to this page to submit a claim form online. You’ll be asked to enter your notice ID and confirmation code. These credentials can be found in the settlement notice you received via mail or email.

Alternatively, you may download a PDF claim form to submit by mail.

According to the settlement website, class members can file a claim form to receive two years of financial monitoring and identity theft insurance services and a pro-rated cash payment. Cash payout amounts, estimated to be between $5.30 and $34.37 per claimant, will depend on how many valid claims are filed.

Covered individuals can also get up to $5,000 in reimbursement for out-of-pocket losses incurred as a result of the loanDepot data breach, such as card cancellation or replacement fees, costs to place a freeze or alert on credit reports, costs to replace a driver’s license, state identification card, or Social Security number, or losses incurred as a result of identity theft or fraud. Claims for out-of-pocket losses must be submitted with supporting documentation.

Finally, class members who live in California can file a claim form for an additional cash payment, expected to be between $14.90 and $74.52 each.

The court granted preliminary approval to the loanDepot data breach settlement in January 2025. A final approval hearing is scheduled for August 18 of this year. LoanDepot settlement payouts will be issued to eligible class members after the deal is ultimately approved by the court and any appeals are resolved.

Related Reading: LoanDepot Data Breach Lawsuit Filed After 16.6M People Impacted by January 2024 Incident

The lawsuit against loanDepot claimed that the company’s failure to adequately secure its networks resulted in a “massive” data breach between January 3 and January 5, 2024. Per the case, an unauthorized third party infiltrated loanDepot’s systems and stole names, addresses, email addresses, financial account numbers, Social Security numbers, phone numbers and dates of birth.

Also as part of the deal, loanDepot has agreed to make improvements in its data management, identity protection, cloud security and threat detection capabilities.

Check out ClassAction.org’s free legal resources to learn how to file a class action lawsuit.