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Starting Oct. 1, millions more Amazon Prime customers could receive automatic payments under an expanded federal agreement on billing and cancellation practices.
The upcoming distribution phase expands eligibility to consumers who have used between 11 and 20 Prime benefits in a single year, a group excluded from previous distributions, according to the Federal Trade Commission.
The payments are part of a landmark $2.5 billion settlement resolving government allegations that Amazon enrolled consumers in Prime without explicit consent and created complex digital processes that hampered efforts to cancel memberships. Under the resolution, Amazon agreed to pay a $1 billion civil penalty and set aside $1.5 billion for direct restitution to consumers.
Subscribers are entitled to a refund if they are based in the United States and signed up through specific disputed payment screens or unsuccessfully attempted to cancel their membership between June 23, 2019 and June 23, 2025.
Eligible subscribers must also have used up to 20 Prime benefits, such as Prime Video or Prime Music, within 12 months of signing up.
A federal court recently approved changes to the settlement terms that increased the maximum total payment per eligible customer from $51 to $200. Consumers who previously received the lowest capped amount may receive additional payments of up to $149 to reach the revised cap, according to the FTC.
Eligible customers do not need to fill out any forms, submit claims, or respond to reviews to receive compensation. Amazon will issue funds directly via PayPal, Venmo, or by mailed paper check.
Recipients must cash or refund checks or electronic payments within 60 days of issuance.
Amazon had already refunded more than $845 million to affected customers as of September, FTC officials said in a press release. The full payment schedule under the amended agreement is expected to be concluded by April 2027.
Federal regulators are also urging consumers to remain vigilant about fraudulent activity related to payments. Neither the FTC nor Amazon will contact consumers to ask for money, personal information, or payment to release funds.
Officials warned that any third party promising expedited distribution or guaranteed access in exchange for a fee is trying to commit a scam.
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