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Amazon agreed to a $2.5 billion settlement after the Federal Trade Commission accused the company of misleading customers into Prime memberships and making cancellations difficult.

The company will pay a $1 billion civil penalty and return $1.5 billion to affected consumers, the FTC announced Thursday.

The deal came just days after the trial started in U.S. District Court. The case focused on the Restore Online Shoppers’ Confidence Act, a 2010 law that requires clarity in online charges. FTC officials said the refund amount surpassed their expectations. Amazon claimed it could have won in court but chose a faster resolution to avoid years of legal battles.

Once the settlement became public, people flooded social media with questions about eligibility, timing, and refund amounts. Some details are still pending, but here’s what we know now:

Who Qualifies for a Refund

The FTC estimates that 35 million people may receive refunds for “unwanted Prime enrollment or deferred cancellation.”

Some customers will automatically receive $51. This group includes people who signed up through a disputed enrollment process between June 23, 2019, and June 23, 2025. They also must have used no more than three Prime benefits in any 12-month span. These refunds should arrive within 90 days of the court order.

What Counts as a Disputed Enrollment Flow

The FTC flagged these sign-up paths:

  • The Shipping Option Select Page
  • The Prime Video enrollment flow
  • The Single Page Checkout

Refunds will cover the Prime membership fees someone paid, up to a $51 cap.

Read more about the settlement here.