Overview
- Automatic payments are being emailed Nov. 12–Dec. 24 via PayPal or Venmo, and recipients have 15 days to accept before unclaimed payments are mailed as checks.
- Eligibility focuses on U.S. customers who enrolled between June 23, 2019 and June 23, 2025 through specified “challenged” sign-up flows or who tried and failed to cancel, with automatic payments limited to those who used three or fewer Prime benefits in any 12-month period.
- A second distribution opens in early 2026, with notices expected by Jan. 23 and claim forms due by July 23, 2026 for additional eligible customers under higher usage caps.
- Individual refunds are capped at the actual Prime fees paid up to $51, with $1.5 billion allocated for customer payments and $1 billion as a civil penalty.
- Amazon denies wrongdoing and must add a clear “decline Prime” option, disclose material terms during sign-up, and offer an easy cancellation using the same method used to enroll; the FTC also warns consumers to watch for refund-related scams.