San Antonio, TX, January 9, 2026
Amazon has begun distributing payments as part of a $2.5 billion settlement with the FTC over deceptive enrollment practices in its Prime membership service. Eligible members, who enrolled between specific dates and met certain criteria, can receive refunds of up to $51. The repayment process will occur in two phases: automatic payments for qualifying members, and a claims process for others. The settlement represents one of the largest in FTC history, highlighting serious concerns about Amazon’s business practices.
San Antonio, TX – Amazon Begins $2.5 Billion Settlement Payments to Eligible Prime Members
San Antonio, TX – Amazon has initiated payments as part of a $2.5 billion settlement with the Federal Trade Commission (FTC), addressing allegations of deceptive practices related to its Prime subscription service. Eligible customers can expect refunds of up to $51, depending on their individual subscription fees.
Eligibility Criteria
To qualify for a refund, customers must meet the following conditions:
- Sign-Up Period: Enrolled in Amazon Prime between June 23, 2019, and June 23, 2025.
- Enrollment Method: Subscribed through specific “challenged enrollment flows,” including the Universal Prime Decision Page, Shipping Option Select Page, Single Page Checkout, or Prime Video Enrollment Flow.
- Usage Frequency: Utilized no more than three Prime benefits within any 12-month period following enrollment. Prime benefits encompass services such as free two-day shipping, Prime Video streaming, and Amazon Music.
Refund Distribution Process
The refund process is structured in two phases:
- Automatic Payments: Customers who qualify based on the criteria above will receive automatic payments. These payments are being distributed via PayPal or Venmo between November 12 and December 24, 2025. If the electronic payment is not accepted within 15 days, a physical check will be mailed to the address associated with the Prime subscription.
- Claims Process: Customers who did not receive an automatic payment but believe they are eligible can submit a claim. Notifications regarding the claims process will be sent by January 23, 2026. Eligible claimants have until July 23, 2026, to submit their claims.
Background on the Settlement
The FTC alleged that Amazon employed deceptive tactics to enroll customers in Prime subscriptions and made it challenging for them to cancel. Amazon neither admitted nor denied these allegations but agreed to the settlement to resolve the matter. The settlement includes a $1 billion civil penalty and $1.5 billion allocated for consumer refunds, marking one of the largest settlements in FTC history.
Important Considerations
- Refund Amount: Eligible customers can receive up to $51, based on the total amount of Amazon Prime membership fees paid during the duration of their subscription.
- Scam Awareness: The FTC warns consumers to be cautious of potential scams. The agency will not contact individuals requesting money to process refunds. Any such communications should be reported immediately.
Next Steps for Eligible Customers
Customers who believe they are eligible for a refund should monitor their email inboxes for communications from Amazon. Those who do not receive an automatic payment and have not been contacted by January 23, 2026, should follow the instructions provided in the forthcoming claim notification to submit their claim by the July 23, 2026 deadline.
FAQ
1. Who is eligible for a refund under the Amazon Prime settlement?
Customers who signed up for Prime between June 23, 2019, and June 23, 2025, and either failed to cancel or signed up through certain Amazon pages, are eligible.
2. How much money will I get from the settlement?
Eligible customers can receive up to $51, depending on how much they paid in Prime fees.
3. Do I need to file a claim to get my refund?
Not right away. Automatic payments will go to users who have used Prime benefits three times or fewer in 12 months. Others can file claims between January 23 and July 23, 2026.
Key Features of the Amazon Prime Settlement
| Feature | Description |
|---|---|
| Settlement Amount | $2.5 billion |
| Refund Allocation | $1.5 billion for consumer refunds |
| Civil Penalty | $1 billion |
| Eligible Sign-Up Period | June 23, 2019 – June 23, 2025 |
| Eligible Enrollment Methods | Universal Prime Decision Page, Shipping Option Select Page, Single Page Checkout, Prime Video Enrollment Flow |
| Benefit Usage Criteria | Used no more than three Prime benefits in any 12-month period |
| Automatic Payment Period | November 12 – December 24, 2025 |
| Claim Submission Period | January 23 – July 23, 2026 |
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