Published
September 16, 2025
Updated
July 27, 2026
The court granted final approval on May 20, 2026. Claims are being processed, and the official administrator says payments are expected to begin no earlier than February 2027.
Current Status
The court granted final approval on May 20, 2026. Claims are being processed, and the official administrator says payments are expected to begin no earlier than February 2027.StatusFinal Approval Granted · Payments No Earlier Than February 2027See the current-status update above.
Claim DeadlineMay 18, 2026New claims are not currently accepted.
Settlement Fund$1.225 billionApproved deductions and allocation terms may apply.
Potential BenefitTransaction-based pro rata paymentEligibility and payment terms apply.
What Happened?
The lawsuits alleged that Discover misclassified certain consumer credit-card transactions as commercial-card transactions, causing merchants and processors to pay higher interchange fees. Discover denied wrongdoing and liability.Who Was Covered?
The class generally includes end merchants, merchant acquirers, and payment intermediaries that accepted or processed Discover credit-card transactions from January 1, 2007 through December 31, 2023, subject to the settlement definitions and exclusions.What Benefits Were Available?
Payments are calculated from estimated interchange-fee overcharges associated with merchant identifiers, allocation rules among transaction participants, validated data, and the total amount available for distribution.Claims and Payment Information
The court granted final approval on May 20, 2026. Claims are being processed, and the official administrator says payments are expected to begin no earlier than February 2027. People with an existing claim or notice should rely on claim-specific communications and the official source.Official information is available at Discover Merchant Settlement.
Important Dates
• Claim deadline: May 18, 2026• Final approval granted: May 20, 2026
• Payments expected: no earlier than February 2027
Settlement Fund and Legal Fees
Administration, legal fees, expenses, benefit payments, and other approved deductions are governed by the official documents and court orders and can affect individual benefits.Case Information
In re Discover Card Misclassification Litigation1:23-cv-04676 and related cases
U.S. District Court for the Northern District of Illinois.
Sources
• Official program, breach notice, or court-authorized information: Discover Merchant SettlementFor more class actions keep scrolling below.
Settlement Fund
$1.225 billion
Case Title
In re Discover Card Misclassification Litigation
Case Number
1:23-cv-04676 and related cases
Court
U.S. District Court for the Northern District of Illinois
Claim Deadline
May 18, 2026
Status
Final Approval Granted · Payments No Earlier Than February 2027
Official Website
Discover Merchant Settlement
