Amazon Prime users: Watch for this important update
January 13, 2026
SEATTLE — Millions of Amazon Prime members are now seeing refunds after the company agreed to a $2.5 billion settlement with the Federal Trade Commission over how it signed people up for Prime and how it handled cancellations. The refunds are part of a settlement that resolves FTC allegations.
The FTC said Amazon enrolled people into Prime without their clear consent and made it hard for customers to cancel their subscription if they did not want it anymore. As part of the settlement, Amazon agreed to pay $1.5 billion in refunds to customers and $1 billion as a penalty to the government.
Refunds began going out automatically from Nov. 12 through Dec. 24, 2025. Amazon sent messages by email to eligible Prime members telling them how to accept their refund. Customers could choose to get their money through PayPal or Venmo. If they didn’t respond, Amazon mailed a paper check to their default address. Those checks must be cashed within 60 days.
People who might get a refund include U.S. Prime members who signed up between June 23, 2019, and June 23, 2025, using sign-up pages the FTC said were deceptive, like the universal Prime decision page or the single-page checkout. They must also have used three or fewer Prime benefits in any 12-month period after they joined.
The refunds are up to $51 per eligible member. That amount reflects one year of a Prime membership fee, which many members paid during the signup period covered by the settlement.
Now that the automatic refund period has ended, a new claims process is opening in 2026 for customers who did not get an automatic payment but believe they are eligible. Notices will go out by Jan. 23, 2026, and customers will have 180 days to send in a claim form.
The FTC and Amazon said the settlement also requires the company to change how it shows Prime membership costs and how customers can cancel. The goal is to make these steps clearer and easier so people do not get signed up by accident.
The FTC also warned shoppers about scam messages related to the refunds. The FTC said the agency will never contact people asking for money or personal information to get a refund. If someone gets a suspicious call or message, they should report it at the FTC fraud site.
Customers who have questions about their refund or the claims process can visit the FTC’s refund page online or review the settlement website for more details.
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