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Those who elected to receive a lump-sum payment of $125 from the Equifax settlement should check their emails. The administrator of the funds is asking customers to confirm that they are currently signed up for credit monitoring. The service does not have to be through Equifax, but it is a requirement to receive the reimbursement.
Those who cannot prove that they are receiving credit-monitoring must amend their request and take the free services instead of cash. If proof cannot be provided, the application will be denied.
As we previously reported, the FTC advised consumers to opt for the free credit monitoring due to the overwhelming response. Of the $700 million settlement, only $31 million was set aside for cash reimbursements. With more than 143 million Americans affected by the 2017 data breach, that pool dwindled fast as many opted for the cash payment.
The FTC did not comment on how many requests were received but suggested that if all were approved, the awarded amounts would be far less than $125 per person.
The emails sent out by the settlement administrator this weekend contain instructions asking consumers to list the name of their credit monitoring service. Customers can respond via the breach settlement website or by snail mail. The information must be received by October 15.
The administrator reiterated the fact that four years of free credit monitoring with up to $1 million ID theft insurance is a far better value. Those opting for the money are still projected to receive less than anticipated.
Masthead credit: Equifax by Casimiro PT