The newest Venmo class action lawsuit was filed on September 1, 2026, by users who claim that PayPal, which owns Venmo, let third-party tracking companies collect details of their private Venmo payments. It is a proposed class action, and no class has been certified. Venmo has also faced an earlier class action over unreimbursed fraud losses, a 2018 Federal Trade Commission order, and a $6 million settlement with the state of Hawaii in 2025. As of October 2026, there is no open Venmo class action settlement that users can claim. Here is what each case involves and where it stands.
Venmo class action lawsuit at a glance
| Matter | What it is about | Forum | Status |
|---|---|---|---|
| Borquez v. PayPal (2026) | Alleged sharing of private transaction data with trackers | N.D. California | Filed September 1, 2026; pending; no class certified |
| Al-Ramahi v. PayPal (2022) | Alleged failure to reimburse Venmo fraud losses | N.D. California | Closed September 2022; no class certified |
| FTC order (2018) | Disclosures about funds availability, privacy settings and security | Federal Trade Commission | Final order May 24, 2018; no money to consumers |
| Hawaii lawsuit (2022) | Purchase protection, privacy and frozen accounts | Hawaii Office of Consumer Protection | Settled December 2025 for $6 million paid to the state |
What is Venmo?
Venmo is a peer-to-peer payment app that lets users send money to friends and pay some businesses from their phones. PayPal owns Venmo, so lawsuits about Venmo usually name PayPal, Inc. as the defendant. Venmo is known for its social feed, where payments and notes can be shared with other users unless a user changes their privacy settings.
What is the 2026 Venmo class action lawsuit about?
The 2026 lawsuit claims that PayPal allowed outside companies to collect data from Venmo users who had set their payments to private. It is called Borquez v. PayPal, Inc., Case No. 5:26-cv-09340, and it was filed in the U.S. District Court for the Northern District of California by Stacey Borquez and three other users, according to Top Class Actions.
What the complaint alleges
- Venmo embedded tracking tools from mParticle and Kochava in the app.
- Those tools allegedly captured names, emails, phone numbers, payment amounts, recipients and the notes users wrote on payments.
- This happened even for users whose transactions were set to “Private,” the complaint says.
- The sharing allegedly contradicted Venmo’s privacy promises about not disclosing personal information to third parties for their marketing.
The lawsuit brings claims under the federal Electronic Communications Privacy Act, the California Invasion of Privacy Act, California’s computer data access law, the California constitution’s privacy protections, and the state’s Unfair Competition Law. It asks for class certification, damages and a jury trial.
These are allegations. A court has not ruled on them, and we found no public response from PayPal to this lawsuit as of our last check.
Is the Venmo lawsuit a class action?
It is a proposed class action, which means the plaintiffs are asking to represent a larger group, but a judge has not certified a class. The proposed class covers U.S. Venmo users with private settings whose information was allegedly shared. The class definition leaves out users who filed their own arbitration demands, which suggests arbitration could become an issue in the case.
Many payment apps require users to resolve disputes through individual arbitration rather than class lawsuits. Courts often enforce those agreements, as happened in our Isotonix lawsuit breakdown. Whether that affects this case has not been decided.
The 2022 Venmo fraud reimbursement lawsuit
In June 2022, Venmo user Mohammad Al-Ramahi filed a proposed class action, Al-Ramahi v. PayPal, Inc., Case No. 5:22-cv-03632, in the Northern District of California. He alleged that PayPal did not reimburse Venmo users for fraud losses as required by the federal Electronic Fund Transfer Act, and that it marketed Venmo as safe without disclosing the risk of scams.
Court records show the case closed in September 2022, about three months after it was filed. No class was certified, and no settlement or claim process came out of it.
The 2018 FTC order
The Federal Trade Commission charged that Venmo misled users in three ways: about when money in their Venmo balance could be transferred to a bank, about how much control they had over the privacy of their transactions, and about its security. The FTC also said Venmo broke the Gramm-Leach-Bliley Act’s privacy and data security rules.
On May 24, 2018, the FTC gave final approval to the settlement. The order bars Venmo from misrepresenting these points, requires clearer disclosures, and requires independent assessments of its data security program for 10 years. The order did not require payments to consumers.
The Hawaii consumer protection settlement
Hawaii’s Office of Consumer Protection sued PayPal in December 2022. It alleged that PayPal and Venmo made misleading promises about purchase protection, privacy, access to funds and fraud prevention, and that some users had their accounts frozen for six months or more.
In December 2025, PayPal agreed to pay $6 million to the state of Hawaii to settle the case. The money went to the state, not to individual users, and PayPal did not admit wrongdoing. The company said it takes its responsibility to customers seriously and keeps improving its products and communications.
Is there a Venmo class action settlement?
No. As of October 2026, there is no open Venmo class action settlement and no claim form. The 2026 privacy case is at an early stage, the 2022 fraud case closed without a class, and the FTC and Hawaii actions did not create a claims process for users.
Venmo users who linked a bank account through Plaid, a company that connects bank accounts to financial apps, may have been eligible for a separate $58 million privacy settlement with Plaid. That settlement received final approval in July 2022, and its claim period is closed. Be wary of websites that promise a current “Venmo payout” without an official, court-approved settlement website.
What Venmo users should know
- Check your privacy settings. In the Venmo app, you can set future payments to Private and change the visibility of past transactions.
- Keep records. Save screenshots of transactions, settings and any messages with Venmo support, especially if you lost money to fraud.
- Report fraud quickly. Contact Venmo right away about unauthorized transfers. You can also file complaints with the Consumer Financial Protection Bureau or your state attorney general.
- Read the user agreement. It explains how disputes must be handled, including any arbitration requirement.
Your rights depend on the facts of your situation and the law that applies. A licensed attorney can tell you whether you have a claim. For another consumer case explained in plain English, see our Meaningful Beauty lawsuit explainer.
Current status of the Venmo class action lawsuit
The September 2026 privacy lawsuit is pending in federal court in California, and no class has been certified. No court has found that PayPal or Venmo shared private data unlawfully. Earlier actions have ended: the 2022 fraud case closed, the FTC order is in effect, and the Hawaii case settled.
Last updated: October 5, 2026. We checked the latest public court records, regulator releases and reports on this date.
Venmo is not the only payment app to face class actions. For a case that did produce a settlement, see our breakdown of the Cash App class action lawsuit settlement.
Conclusion: the Venmo class action lawsuit in brief
The current Venmo class action lawsuit, Borquez v. PayPal, alleges that private transaction details were shared with tracking companies. Those claims are unproven, and the case is a proposed class action with no certified class. Earlier, a 2022 fraud reimbursement class action closed without a class, the FTC issued an order in 2018 without consumer payments, and Hawaii settled with PayPal for $6 million paid to the state.
There is no verified Venmo settlement users can claim as of October 2026. For another fintech case, see our TurboTax lawsuit breakdown.
Frequently asked questions
Is there a class action lawsuit against Venmo right now?
Yes. A proposed class action, Borquez v. PayPal, was filed on September 1, 2026, in federal court in Northern California over alleged sharing of private transaction data. No class has been certified.
Can I get money from a Venmo settlement?
Not currently. As of October 2026, there is no open Venmo class action settlement or claim form.
Did the FTC fine Venmo?
No money was paid under the 2018 FTC order. It required clearer disclosures, no misrepresentations, and independent security assessments for 10 years.
Does Venmo have to refund fraud losses?
That depends on the type of transaction and the law that applies. A 2022 class action argued Venmo must reimburse fraud losses under federal law, but it closed without a ruling on that question.
Who owns Venmo?
PayPal, Inc. owns Venmo and is the defendant named in Venmo lawsuits.
Sources
- Top Class Actions: Venmo users sue PayPal over alleged disclosure of private financial data, Borquez v. PayPal, No. 5:26-cv-09340 (N.D. Cal.) (September 2026)
- ClassAction.org: PayPal secretly transmits Venmo users’ info to third parties, class action alleges (September 2026)
- Top Class Actions: Al-Ramahi v. PayPal, No. 5:22-cv-03632 (N.D. Cal.) (June 2022)
- Federal Trade Commission: final approval of PayPal settlement involving Venmo (May 24, 2018)
- Spectrum News Hawaii: State reaches $6M settlement with PayPal (December 23, 2025)