FILE - Amazon building. (Michael Sohn | AP Photo/Michael Sohn, File)
Automatic payments as part of an expanded federal settlement over billing and cancellation practices involving Amazon have reportedly started going out.
Last month, the Federal Trade Commission announced that Amazon was accelerating and widening consumer refund payouts stemming from a $2.5 billion deceptive enrollment settlement.
Under the historic September 2025 settlement of the FTC’s allegations, Amazon was required to pay up to $1.5 billion in redress to consumers harmed by the company’s deceptive Prime enrollment practices in addition to a $1 billion civil penalty.
According to the FTC, those automatic payments started rolling out Thursday via PayPal, Venmo or mailed check.
The eligibility requirement also expanded beyond low-use subscribers to include millions who used between 11 and 20 Prime benefits over a one-year period.
“The revised order will ensure more consumers who were harmed by Amazon’s deceptive enrollment and cancellation practices benefit from the FTC’s historic settlement,” Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection, said.
Additionally, the individual payment cap could be as high as $200.
Those who have already cashed earlier checks could see an additional automatic supplemental payment of up to $149 starting in April 2027.
The settlement noted that customers do not have to file any claims or forms.
But the FTC warned that anyone reaching out claiming to be from the agency or asking for money or personal banking details to claim a refund is running a potential scam.