Amazon has begun sending payments to eligible Prime members as part of a $2.5 billion settlement related to federal claims that it misled customers, CBS News reported.
In September, the e-commerce giant agreed to the payouts to settle a 2023 lawsuit filed by the Federal Trade Commission. The lawsuit claimed that Amazon misled customers into enrolling in Prime and made it difficult for them to cancel their memberships.
According to the settlement, Amazon agreed to provide $1.5 billion in refunds to customers, but the company neither admitted nor denied the FTC’s allegations. In an earlier statement, the company said, “Amazon and our executives have always followed the law.”
Who is eligible for refunds?
Refunds will only be provided to customers who signed up for Amazon Prime between June 23, 2019, and June 23, 2025.