Amazon agreed to a $2.5 billion FTC class action settlement to resolve claims that the company tricked consumers into signing up for its Prime subscription service and then made it hard to cancel. Amazon will pay a $1 billion civil penalty and provide $1.5 billion in refunds to an estimated 35 million customers.
As of now, Amazon has already issued more than $845 million in refunds, and payments will continue through April 2027, now with up to $200 in refunds per person.
Who is eligible (must meet all requirements):
- You are an Amazon Prime customer in the United States.
- Customers who signed up for Prime between June 23rd, 2019, and June 23rd, 2025
- Customers who attempted to cancel their Prime membership but couldnât complete it
- You used no more than 20 Amazon Prime benefits during any 12-month period following your Prime enrollment. Prime benefits can include things like Prime shipping, Prime Video, Prime Music, and other benefits included with your membership.
How the Refunds Work
- Automatic Refunds: If you used three or fewer benefits in a year, you should receive a refund automatically by April 2027 either mailed by check or electronically through PayPal or Venmo.
- Not Eligible: If you used 20 or more benefits in a year, you generally wonât qualify for this settlement.
Compensation:
-
Up to $200
Required changes:
- Clear, visible option or button to decline Prime (no more âNo, I donât want free shippingâ)
- Simple, streamlined cancellation using the same method as sign-up
- Oversight by an independent third party to ensure compliance
- Upfront disclosure of Primeâs cost, auto-renewal, billing, and cancellation terms
I never check my email what Iâm I looking for or who sent it to search my Gmail
Did I read this correctly, that Amazon will send you an email if you qualify for this settlement?
Yes, that’s right.
Received mine $51 đ€©
Yaay!
Did anyone receive a email on Amazon or their personal email
This one I did not know!
Thank you!
You’re welcome Tammy!
Where can we check when we signed up for Prime?
Hi Janna! You can check when you signed up for Amazon Prime by going to Your Account, then to Your Prime Membership (or “Manage Prime Membership”), and reviewing the details page for your membership start and end dates.
So Amazon will contact customers who were affected by this?
Yes, that’s what the Terms of the Settlement say.
I verified I had an active membership during the stated timeframe but donât see anything under my prime account or email đ
Oh darn, that’s too bad.