Core Viewpoint - Capital One is set to pay $425 million and implement higher interest rates for certain accounts to settle a class action lawsuit regarding misleading interest rate promises to depositors [1][3]. Settlement Details - The revised settlement includes an additional $530 million in higher interest rates for depositors with 360 Savings accounts, alongside the initial $425 million payment [3]. - The initial proposed settlement of $425 million was rejected by a federal judge, who deemed it insufficient and ordered further negotiations [5]. Legal Context - Customers accused Capital One of falsely advertising high interest rates on 360 Savings accounts while offering better rates to new customers on 360 Performance Savings accounts [3][4]. - A coalition of 18 state attorneys general opposed the earlier settlement, arguing it would not adequately compensate Capital One customers [4]. Judicial Response - The federal judge criticized the initial settlement for providing less than 10% of the damages to 360 Savings depositors, who were earning significantly lower interest compared to 360 Performance Savings customers [5]. - The judge's ruling prompted both parties to renegotiate the terms of the settlement to address the concerns raised [5]. Attorney General's Statement - New York Attorney General Letitia James expressed approval of the new settlement, stating it delivers justice and ensures customers receive the promised higher interest rates [6].