Fidelity Investments agreed Wednesday to a $2.5 million class action settlement to resolve a lawsuit over a data breach that occurred in 2024.

The settlement would provide individual payouts of up to $5,000 to affected customers who can demonstrate they qualify for compensation under the terms of the agreement.

Details about the scope of the 2024 data breach, including how many customers were affected and what type of personal information was compromised, were not immediately available. The financial services company has not publicly disclosed the specific circumstances that led to the security incident.

Class action settlements typically require court approval before payments can be distributed to affected parties. The settlement agreement would need to receive final approval from a judge before any compensation is paid out to customers.

Fidelity Investments is one of the largest asset management companies in the United States, managing trillions of dollars in client assets across retirement accounts, mutual funds and other investment products.