If you’re eligible for the ATM settlement, you’ll receive your payment through one of several methods chosen by the settlement administrator. The most common options include direct deposit to your bank account, PayPal transfers, virtual debit cards, paper checks, and for current customers of the defendant banks, automatic account credits. The process is largely automatic—you don’t need to file a claim or submit proof of ATM charges. Once the court approves the settlement, eligible class members will receive notification about their payment method options, and funds will be distributed within 90 days by the settlement administrator, AB Data.
The amount you receive depends on your situation. Most eligible members receive a flat $25 payment with no documentation required, provided they were charged out-of-network ATM fees. Others may receive a larger proportional share calculated based on the total fees they incurred. Understanding which payment method works best for you and when to expect your money is essential because different options have different costs and timelines—and some are far more efficient than others. This article explains how settlement payments actually work, which payment methods are available, what amounts eligible members can expect, and what to do when your payment arrives.
Table of Contents
- What Payment Methods Are Available for ATM Settlement Distributions?
- How Settlement Payments Differ Based on Your Bank Status
- Expected Payout Amounts and Who Gets What
- Timeline and Process: When Will You Actually Receive Your Money?
- Important Limitations and What Happens If You Miss Your Payment Choice Deadline
- How to Choose the Best Payment Method for Your Situation
- The Future of ATM Settlement Payouts and What Comes Next
What Payment Methods Are Available for ATM Settlement Distributions?
When the settlement pays out, you won’t be forced into a single payment method. Recipients typically receive emails or texts from AB Data offering multiple disbursement options. These include direct deposit, PayPal transfers, virtual debit cards (often Visa or Mastercard branded), Venmo, account credits if you hold a current account at one of the defendant banks, and paper checks as a fallback option.
The payment method you choose matters significantly because costs vary. Direct deposit and automatic account credits are the most cost-effective options for the settlement administrator and for you—there are essentially no fees, and the money reaches you quickly. Paper checks, by contrast, cost up to $0.46 each just in postage, which cuts into the settlement fund that could otherwise go to members. PayPal and virtual debit cards typically have minimal fees but may involve small processing delays depending on your bank’s policies.
How Settlement Payments Differ Based on Your Bank Status
A crucial distinction in how you receive payment depends on whether you currently maintain an account at one of the defendant banks. Current account holders—those with active checking or savings accounts—receive their settlement payments as automatic credits posted directly to their existing accounts. this happens without any action on your part; you simply see the credit appear in your account after court approval.
Former account holders who no longer bank with the defendant institutions receive settlement payments via paper check. This is a key limitation of the current settlement structure: if you closed your account years ago or never had one to begin with, you must accept a check as your primary payment method, though some settlement administrators have begun offering alternative options like virtual cards or PayPal for non-account holders. The check will arrive by mail, which introduces delays compared to electronic transfers. This is why it’s worth confirming your banking status with AB data when you receive notification—if you still qualify as a current account holder, you may be able to request account credit instead.
Expected Payout Amounts and Who Gets What
The settlement is structured with two payment tiers. First, most eligible class members receive a flat $25 automatic payment with no proof of charges required. This covers anyone who was charged multiple out-of-network ATM fees that included a balance inquiry component. You don’t need to submit receipts, statements, or any documentation—the settlement administrator already has access to the transaction records from the defendant networks and banks.
Second, members who incurred additional fees—specifically retry NSF (non-sufficient funds) fees or overdraft charges triggered by ATM transactions—are eligible for a proportional share option. Instead of the flat $25, these members receive a calculated amount based on the total fees they paid relative to all eligible members in that category. For example, if you were charged $75 in total ATM-related fees and the settlement fund allocates $5 million to the proportional share pool, your payment would be calculated as your percentage of all proportional claims times that $5 million pool. The $197.5M Visa/Mastercard settlement has already approved 296,877 valid claims, so settlements of this magnitude ensure meaningful payouts even in the proportional share category.
Timeline and Process: When Will You Actually Receive Your Money?
The timeline depends on court approval, which is the critical gate for all settlement disbursements. The $197.5M Visa/Mastercard settlement (Mackmin v. Visa) has 296,877 approved claims and is expected to receive final court approval in late winter 2026, with payments beginning in February or March 2026. Once the judge signs the approval order, AB Data begins distributing funds within 90 days—meaning you should see your payment arrive within three months of that final approval.
The newer $167.5M Nonbank ATM Settlement (Burke v. Visa) filed in December 2025 is still pending court approval, so the claims process for that settlement won’t open until later in 2026. When you receive your notification email or text from AB Data, it will include the exact payment method options available to you, a deadline to select your preference (usually 30-60 days), and an estimated payment date. If you don’t respond to select a method, the settlement administrator will default to the least expensive option available to them—typically a paper check—which could result in a weeks-long mail delay rather than an instant electronic transfer.
Important Limitations and What Happens If You Miss Your Payment Choice Deadline
One significant limitation of the current ATM settlement structure is that automatic payment only applies to class members whose contact information is on file. If the defendant banks or networks can’t locate you using their existing records, your payment may be held in an unclaimed settlement fund account. If this happens, you’ll need to file a claim with the settlement administrator or the court to recover your portion.
This is why it’s critical to monitor any official communications from the settlement administrator—missing the notification window could delay your payment by months or years. Additionally, if you select a payment method and your account information is incorrect (wrong bank routing number, inactive PayPal email, closed debit card), your first payment attempt may fail. AB Data will typically retry 2-3 times before returning the funds to the unclaimed pool. The solution is straightforward: verify your contact details and payment information when you receive the notification, and don’t ignore the settlement administrator’s follow-up communications.
How to Choose the Best Payment Method for Your Situation
If you have an active bank account at one of the defendant banks, choosing automatic account credit is almost always the best option. The money appears instantly or within one business day, there are no fees, and you don’t have to worry about mail delays or incorrect account numbers. If you’ve already closed that account or never had one, direct deposit to your current bank is your second-best option—it’s free, fast, and secure.
Virtual debit cards and PayPal are reasonable alternatives if you don’t have traditional bank account access or prefer not to share your banking information. However, virtual debit cards issued as part of a settlement may have expiration dates or small monthly fees after a certain period, so read the terms carefully. Paper checks should genuinely be your last resort unless you have no other option—they’re slow, they can be lost in the mail, and you’ll need to find a bank or check-cashing service to deposit them.
The Future of ATM Settlement Payouts and What Comes Next
With 296,877 claims already approved in the Mackmin v. Visa settlement and a new $167.5M settlement filing in Burke v. Visa, the ATM settlement landscape is becoming increasingly refined.
Settlement administrators and courts have learned that electronic disbursements reduce unclaimed settlement funds—when people receive email notifications and can choose direct deposit or PayPal, they claim their money; when people get paper checks, many never cash them. As additional ATM-related settlements move forward in 2026 and beyond, expect more settlement administrators to expand their payment options and reduce mail-based distributions. The trend is clearly toward electronic methods, virtual cards, and account credits. If you’re waiting on payment from multiple settlements, keeping your contact information current with each settlement administrator ensures you don’t miss notifications or opportunities to choose the fastest, cheapest payment method available to you.