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Amazon Prime Refunds Set for December Under $2.5 Billion FTC Settlement

Low‑use subscribers receive automatic payments by late December, with others notified to file claims in January 2026.

Overview

  • Redress totals $1.5 billion for customers and $1 billion in civil penalties, resolving FTC allegations of deceptive Prime sign‑up and cancellation designs.
  • Eligibility generally covers U.S. users who enrolled between June 23, 2019 and June 23, 2025 through specified “challenged” flows or who tried and failed to cancel.
  • Individual refunds are based on Prime fees paid and are capped at $51 per customer, according to the court order.
  • A third‑party administrator will send claim instructions by January 23, 2026, and eligible users will have until July 23, 2026 to submit forms.
  • Payments will be made in cash equivalents rather than Amazon credits, and the order requires clearer disclosures and simpler cancellations; Amazon denies wrongdoing.