Amazon Ordered to Accelerate, Expand Payments Under Last Year's $2.5 Billion FTC Settlement

By Connor Hart

Amazon.com will accelerate and expand payments to eligible consumers under a 2025 settlement which resolved allegations the e-commerce company had duped customers into signing up for its signature Prime service and made it very difficult for them to cancel, the Federal Trade Commission said.

Under the settlement, Amazon was required to pay a $1 billion civil penalty--the largest in FTC history--and create a $1.5 billion fund to pay back to consumers. The company was also required on its Prime interface to include a simple way to cancel.

The FTC said Thursday that Amazon has issued more than $845 million in redress payments to consumers as of this month.

Under a revised court order this week, more consumers would now qualify for refunds from Amazon, the FTC said. The maximum payment cap has been raised to $200 from $51, and all future payments would now be distributed automatically, eliminating the need for consumers to submit claims or additional paperwork, it added.

Amazon didn't immediately respond to a request for comment.

Christopher Mufarrige, director of the FTC's bureau of consumer protection, said the revised order would ensure more consumers benefit from the settlement.

"This action underscores the FTC's commitment to ensuring companies return money to consumers harmed by unlawful and deceptive business practices," Mufarrige said.

Amazon last year agreed to settle the case days into a civil trial without admitting or denying the FTC's allegations, saying at that time that the resolution allowed it to move forward and focus on its business.

"We work incredibly hard to make it clear and simple for customers to both sign up or cancel their Prime membership, and to offer substantial value for our many millions of loyal Prime members around the world," Amazon said previously.

Write to Connor Hart at connor.hart@wsj.com

(END) Dow Jones Newswires

September 17, 2026 14:32 ET (18:32 GMT)