Amazon Prime members who already received settlement money will get fresh automatic payments pushing their total refund to as much as $200, the company confirmed this month.
The boost comes from a newly expanded eligibility pool tied to the Federal Trade Commission’s concluded lawsuit against the retail giant, which originally produced refunds capped at roughly $51. Under updated terms filed September 11, Amazon broadened who qualifies for the $2.5 billion settlement, and those who used 20 or fewer Prime benefits in any 12-month stretch between June 23, 2019 and June 23 are now included.
Amazon finished phase two of its reimbursement process and pledged to keep paying through February 2027, the company disclosed. Customers already sent partial refunds will receive additional automatic deposits of $149, bringing their total to $200, with no claim or application required. All funds are scheduled for distribution by April 2027.
The FTC sued Amazon over allegations that the company deployed confusing enrollment screens to sign consumers up for Prime without meaningful consent, then obstructed cancellation. The resulting agreement, struck after Amazon denied wrongdoing, carries a $1 billion civil penalty alongside $1.5 billion earmarked for consumer refunds.
FTC Chairman Andrew N. Ferguson said via a press release in July: “Today, we are putting billions of dollars back into Americans’ pockets, and making sure Amazon never does this again.”
Financial expert Alex Beene said: “The money is being distributed due to the FTC alleging Amazon used confusing enrolment screens to sign people up for Prime without any form of meaningful consent and then made cancellation difficult.
“For other businesses, the larger message is that subscription growth cannot come at the expense of being more transparent with customers on fees and the renewal process.”
Amazon has paid more than $845 million to former customers so far, according to company figures. The settlement also mandates that Amazon “clearly and conspicuously” disclose Prime membership terms and maintain an easy cancellation pathway.
Amazon said in a statement last September: “Amazon and our executives have always followed the law and this settlement allows us to move forward and focus on innovating for customers.
“We work incredibly hard to make it clear and simple for customers to both sign up or cancel their Prime membership.”
The FTC warned consumers that it is not contacting anyone directly about these refunds. The agency’s website states: “The FTC is not contacting people about refunds in the Amazon matter.
“If you get a call from someone who claims to be from the FTC, it’s a scam.”
The case originated from the FTC’s accusation that Amazon engaged in deception regarding Prime enrollment practices, though the company maintained it had always operated within the law. Prime memberships currently cost $139 annually.