Amazon Expands Prime Reimbursement Process as Settlement Deadline Looms
Amazon has expanded its reimbursement process for former Amazon Prime customers as part of a settlement with the Federal Trade Commission. The e-commerce giant agreed to pay $2.5 billion to settle claims it tricked customers into $139 Prime memberships.
The initial payment phase issued automatic payments up to $51 to subscribers who enrolled between June 23, 2019, and June 23, 2025, and had used Prime benefits no more than three times in a year. However, less than $1 billion of the allocated refunds have been issued.
Amazon is now expanding eligibility to those who used Prime no more than four times in a year. If the total reimbursed funds don't reach $1 billion by February 2027, Amazon will provide additional payments to customers who have already received funds, capping those at $149 for a total of $200.
As part of the settlement, the FTC said Amazon will be required to 'clearly and conspicuously' disclose the terms of Prime memberships and make them easier to cancel. Amazon denied any wrongdoing in a statement last year, saying that the company and its leaders 'have always followed the law.'