Amazon to automatically send Prime members refunds of up to $200
You could be in for a refund if you're an Amazon Prime member, as the mega e-commerce platform has been ordered to accelerate and expand payments under a $2.5 billion settlement.
Millions of people were charged without consent
The Federal Trade Commission has announced that last year's massive settlement with Amazon is now in an expanded phase.
The settlement was reached on behalf of millions of people who were automatically enrolled and charged for Prime subscriptions without their consent. Not only that, consumers then found it difficult to cancel the subscription that they say they never agreed to.
The payment has been raised from $51 to $200
Just last week, the court approved a joint motion filed by the FTC and Amazon that makes more consumers eligible for the payout, and it will happen faster.
Originally, the payment was $51 per person, but it's now been raised to $200. The revised settlement also eliminates the need for consumers to fill out claim forms. Instead, payments will be distributed automatically.
When the settlement was reached in September 2025, consumers who used fewer than 10 Prime benefits in a one-year period qualified for the refund. The revised settlement requires $845 million in redress payments.
Consumers who used between 11-20 Prime benefits in a one-year period qualify now qualify for the settlement under the new agreement.
More protection for consumers
The FTC said that the point of the lawsuit was to protect consumers who were harmed by "deceptive enrollment."
“The revised order will ensure more consumers who were harmed by Amazon’s deceptive enrollment and cancellation practices benefit from the FTC’s historic settlement,” said Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection.
The payments will begin on Oct. 1, 2026, and will be automatically sent by mailed check, PayPal, or Venmo.
A reminder to check your charges
This is a great reminder to stay on top of your banking and make sure you've consented to all the charges that appear on your statement.
Source: News4JAX