FTC forces Amazon to pay $1.5 billion in Prime refunds; here’s how to check if you are eligible

Amazon has agreed to a $2.5 billion settlement after the Federal Trade Commission (FTC) accused it of tricking users into signing up for Prime memberships and making it difficult to cancel the subscription.

The settlement is one of the biggest in FTC history, with $1 billion set aside as a civil penalty and $1.5 billion for customer refunds, the NY Post reported.

The FTC estimates that 35 million people were affected between June 23, 2019, and June 23, 2025.

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Amazon Prime settlement: Who is eligible?

Customers may qualify for a refund if they:

• Signed up for Amazon Prime during that time period, or

• Tried to cancel Prime but were unsuccessful, and

• Are a customer in the United States

Refunds are capped at $51 per customer. Payments will be made in two phases.

Amazon Prime settlement: Automatic refunds

According to the NY Post, the first wave will go to customers who joined Prime through what the FTC calls “challenged enrollment flows,” like the Universal Prime page, the checkout page, or Prime Video, and used three or fewer Prime benefits in any 12-month period. These refunds will be sent automatically within 90 days of the FTC’s order.

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Amazon Prime settlement: Claim-based refunds

Customers who signed up through a challenged enrollment flow, or tried to cancel Prime unsuccessfully during the period, and used no more than 10 Prime benefits in any 12-month period, will need to submit a claim form after the automatic payouts are completed.

These customers must submit a claim form after the automatic payouts are finished. Amazon will send notices by email or mail within 30 days after automatic refunds are complete. Once customers receive their claim form, they will have 180 days to send it back online, by email, or through prepaid mail.

What’s next

The FTC has not yet released the official claims website, but it will be published soon. Amazon has promised to notify all eligible customers directly.

FTC Chair Andrew N. Ferguson said in a statement, “We are putting billions of dollars back into Americans’ pockets and making sure Amazon never does this again.”

Amazon, however, said it has always followed the law but agreed to settle in order to “move forward and focus on innovating for customers.”

Amazon Prime settlement: Key questions answered

Who is eligible for the Amazon Prime settlement refund?

US-based users who signed up for Prime between June 23, 2019, and June 23, 2025, or tried to cancel unsuccessfully during this period, are eligible for the settlement.

2. How much can I get from the Amazon Prime settlement?

Refunds are capped at $51 per customer, depending on your Prime usage and sign-up method.

3. How do I claim my Amazon Prime settlement refund?

Some customers will receive automatic refunds, while others need to submit a claim form after automatic payments. Notifications will be sent via email or mail.