Amazon begins $2.5 billion payouts to Prime members after FTC settlement – Who is eligible?
Amazon began sending payments to eligible Prime members as part of a $2.5 billion settlement over federal allegations that it misled customers.
In September, the e-commerce giant accepted payments to settle a lawsuit filed by the Federal Trade Commission in 2023. The lawsuit alleged that Amazon misled customers about signing up for Prime and made it difficult for them to cancel their memberships.
Under the settlement, Amazon agreed to refund customers $1.5 billion, but the company neither admitted nor denied the FTC’s allegations. “Amazon and our executives have always followed the law,” the company said in a previous statement.
Who is entitled to a refund?
Refunds will only be issued to US customers who signed up for Amazon Prime between June 23, 2019 and June 23, 2025 and received up to three Prime benefits within a 12-month period following enrollment.
How much is the refund amount?
All eligible subscribers can get a refund of up to $51 per person on Amazon Prime charges.
How will customers receive refunds?
Amazon will process automatic refunds through PayPal or Venmo, which customers must accept within 15 days of receiving the return. Subscribers should ignore the refund email if they prefer check over PayPal or Venmo. In this case, Amazon will send a check to the default address linked to the Prime account. Customers are encouraged to cash checks within 60 days.
