UPDATE: Customers of Amazon are receiving checks in the mail, and these payments are legitimate. The checks are part of a substantial $1.5 billion payout related to a $2.5 billion settlement with the Federal Trade Commission (FTC). This urgent distribution started in November and is set to continue, with the last batch going out on December 24, 2025.
The settlement arises from allegations that Amazon misled users into signing up for Prime services and created obstacles for those wanting to cancel their subscriptions. Many customers feared they were victims of a scam, but these checks can be cashed safely.
So, how much can eligible Prime customers expect? The FTC’s settlement documents reveal that payouts will be capped at $51. Eligible customers include those who signed up for Amazon Prime through the “Single Page Checkout” between June 23, 2019, and June 23, 2025. While it remains unclear exactly how many individuals will receive checks, Amazon processes approximately 8.8 million orders per day.
However, there are specific requirements for eligibility. Customers must have attempted to cancel their Prime subscription during the specified timeframe or signed up through a “challenged enrollment flow.” Additionally, those who utilized four or fewer “Prime Benefits,” such as Prime 2-day shipping or access to Amazon Prime Video and Music, will qualify. If the total payouts do not reach the $1 billion minimum threshold for customer refunds, the FTC will broaden eligibility criteria to include up to five benefits and so forth.
The FTC took action against Amazon two years ago in a U.S. District Court in Seattle, citing a decade of legal violations, including breaches of the Restore Online Shoppers’ Confidence Act. Amazon has denied any wrongdoing but agreed to the settlement to resolve the allegations.
The Prime membership is crucial to Amazon’s business model, attracting more than 200 million members worldwide. It offers benefits such as expedited shipping, streaming services, and discounts at Whole Foods, available for $139 annually or $14.99 monthly. In July, Amazon announced a record $12 billion in net revenue from subscription services, a 12% increase year-over-year.
In response to the FTC’s claims, Amazon stated, “Occasional customer frustrations and mistakes are inevitable — especially for a program as popular as Amazon Prime.” However, the FTC asserted that Amazon intentionally complicated the cancellation process, often presenting customers with unclear options that led to automatic Prime enrollments.
As checks continue to arrive, customers are encouraged to verify their eligibility and cash their payments without concern. This significant settlement not only reflects Amazon’s growing influence in the market but also emphasizes the importance of transparency in online commerce.
Stay tuned for further updates as the situation develops.
