Fake class action settlement processing fee scam — eligible for $500-$3500 data breach / overcharging / consumer fraud settlement + must pay $25-$45 processing / administration / claim fee to receive payout + real settlements never charge upfront fees + attorneys work on contingency

Class action settlement advance-fee fraud — exploiting public awareness of real data breaches and consumer class actions (Equifax, Facebook/Meta, Marriott, T-Mobile, etc.) to harvest upfront fees. Scammers send mass emails claiming the recipient is eligible for a settlement payout ($500-$3,500 is typical) but must first pay an administrative processing fee, claim submission fee, or handling charge ($25-$75) to receive the payout. The settlement does not exist — the fee is the theft vector. Key facts: (1) Real class action settlements are supervised by federal courts and disbursed through court-appointed claims administrators — there are NEVER upfront fees to claimants; (2) Real settlement claims administrators contact claimants by US mail (mandated by courts), not by unsolicited email; (3) Attorney fees in class actions are paid from the settlement fund after court approval — contingency arrangements mean claimants never pay out of pocket; (4) The FTC Imposter Scams report: settlement fee scams are a growing variant of government/official impersonation fraud; (5) To verify a real settlement, check classactionrebates.com or the official settlement administrator site listed in court documents. Warning signs: email (not mail) contact, upfront fee to receive payout, urgent deadline, unrecognized or generic claims administrator domain.