Amazon Prime Refunds Expand as Cap Rises to $200

Amazon

WASHINGTON, D.C. — Amazon will expand automatic refunds to millions of additional Prime customers and raise the maximum total payment to $200 under a revised federal court order tied to its $2.5 billion settlement with the Federal Trade Commission over alleged deceptive enrollment and cancellation practices.

The revised order broadens eligibility to consumers who used between 11 and 20 Prime benefits during a 12-month period. Those customers were excluded from earlier phases, which generally covered eligible consumers who used fewer than 10 benefits.

Amazon will begin sending the newly eligible customers automatic payments by Oct. 1 through PayPal, Venmo, or mailed checks. Consumers will not need to file claims, respond to notices, or complete additional paperwork.

READ:  Credit Acceptance Deal Erases Millions in Pennsylvania Debt

The changes stem from a joint motion filed by the FTC and Amazon and approved by a federal court. The order increases the maximum total refund from $51 to $200 and directs that future payments be made automatically.

Amazon has distributed more than $845 million in consumer redress as of September, according to the FTC. The September 2025 settlement required the company to provide as much as $1.5 billion in consumer refunds and pay a $1 billion civil penalty.

The settlement resolved FTC allegations that Amazon enrolled millions of consumers in Prime without their consent and deliberately complicated the process for canceling subscriptions. Amazon agreed to the settlement without the case proceeding to trial.

READ:  FTC Restricts Beretta Board Role in Ruger Stock Deal

Under the revised distribution plan, customers who previously accepted settlement payments may also qualify for as much as an additional $149, bringing their total potential payment to $200. Supplemental payments would begin by April 2027 if the consumer fund has sufficient remaining money under the court-approved distribution formula.

“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,” Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection, said.

READ:  Bank of America Expands Fraud Education Across Philadelphia Region

The FTC said Amazon, rather than the commission, is administering the refund program. Eligible consumers should not have to pay anyone or provide money to receive their refunds, and the agency warned that anyone claiming to represent the FTC in connection with the payments is likely attempting a scam.

Support the local news that supports Chester County. MyChesCo delivers reliable, fact-based reporting and essential community resources—free for everyone. If you value that, click here to become a patron today.