Amazon Settles Allegations, Prepares for $2.5 Billion Refund Payment

Amazon has agreed to pay billions of dollars to settle allegations that it signed people up for Prime without their permission and made it difficult to cancel.

The settlement affects millions of customers, and those who qualify will receive refunds through Venmo, PayPal, or mailed checks starting October 1, 2026.

Consumer advocates warn that scammers may try to take advantage of the situation by sending emails asking people to click a link to receive their refund, which could lead to malware downloads or attempts to access bank accounts.

The Federal Trade Commission (FTC) is not contacting people about refunds and advises consumers to be vigilant if someone claims to be from the FTC.