Amazon Prime $2.5 billion settlement: Here's how to claim a refund
FILE-In this photo illustration, a smartphone displaying the logo of Amazon.com is pictured beside a delivery box featuring Prime branding. (Photo illustration by Cheng Xin/Getty Images)
Amazon has begun the process of sending payments to customers as part of the company’s $2.5 billion settlement.
Some patrons received automatic payments starting on Nov. 12, according to a Federal Trade Commission release.
RELATED: Amazon to pay $2.5B for tricking customers into Prime memberships, FTC alleges
The payments come after Amazon agreed to settle with the FTC in September related to an antitrust lawsuit filed in 2023.
How much can I receive from the Amazon settlement?
Dig deeper:
The Federal Trade Commission said that under the settlement, eligible Amazon Prime customers will receive a refund of their Amazon Prime subscription fees, up to a maximum of $51.
RELATED: How customers can check eligibility for Amazon Prime settlement refunds
Customers who qualify will receive payments between Nov. 12 and Dec. 24 and Amazon will provide automatic refunds to millions of eligible Prime customers. You can also receive your refund by PayPal or Venmo.
What are the requirements to qualify for a payment in the Amazon settlement?
Why you should care:
Amazon will issue refunds in two stages: an automatic refund process for eligible Prime customers and a claims process for eligible Prime customers who didn’t get an automatic refund.
To qualify for an automatic refund from Amazon, there are a few requirements you must meet.
- You must be an Amazon Prime customer in the U.S.
- Amazon customers signed up for a Prime subscription through a "challenged enrollment flow between June 23, 2019, and June 23, 2025.
- Only Amazon customers who used their Prime benefits no more than three times over any 12-month period of enrollment are eligible to receive an automatic payment.
What was the Amazon case about?
The backstory:
Amazon was accused of enrolling millions of customers in Amazon Prime subscriptions without their knowledge or consent, and the tech giant allegedly made it difficult for patrons to cancel their Amazon Prime subscriptions, according to the Federal Trade Commission.
Amazon is required to pay $1.5 billion for refunds to patrons impacted by the Prime enrollment and cancellation methods. The FTC also noted that the company also must pay a $1 billion civil penalty and stop "unlawful" enrollment cancellation actions for Amazon Prime subscriptions.
The Source: Information for this story was provided by a Federal Trade Commission release about the Amazon settlement. This story was reported from Washington, D.C.