Amazon Prime settlement expands with increased consumer refunds

The Federal Trade Commission (FTC) has expanded a court-approved settlement with Amazon, increasing the maximum refund amount for certain Prime subscribers from $51 to $200. The settlement stems from allegations that Amazon enrolled millions of consumers in Prime subscriptions without consent and utilized deceptive practices to make the cancellation process difficult.

The revised order expands the eligibility pool to include millions of additional consumers who used between 11 and 20 Prime benefits within a one-year period. Previously, the refund cap applied only to those who used fewer than 10 benefits.

New automatic payments for these eligible consumers are scheduled to begin on October 1, 2026, via Venmo, PayPal, or mailed checks. Additionally, if total accepted payments do not meet required thresholds by February 2027, Amazon may be required to issue a follow-up round of payments by April 2027, potentially providing up to $149 more to those who have already received a settlement payment.