Amazon refunding $70 million for purchases made by kids

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"This case demonstrates what should be a bedrock principle for all companies-you must get customers' consent before you charge them", said the acting director of the FTC's Bureau of Consumer Protection, Thomas Pahl, after the cessation of courtroom hostilities. The agency said the refunds totaled a minimum of $32.5 million. The Federal Trade Commission announced more than $70 million in refunds Tuesday. The deadline for submitting a refund request is May 28, 2018.

Amazon keeps 30 percent of all in-app charges, and unlike sales of physical goods on Amazon, in-app purchases are nonrefundable. Likewise, the move to refund the money has finally brought closure to the three-year judicial proceedings that address parents' complaints. The two no longer call apps "free" even when they are free to download.

Now parents whose kids made in-app purchases on Amazon without their permission can get a refund from the company. You can apply for a refund at this website, and Amazon will review your request.

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To prove their claim, a parent shared that her child was able to purchase items worth $358 and she was unaware of these charges.

According to the FTC, more than 70 million dollars in charges may be eligible for refunds on in-app purchases made between November 2011 and May 2016. Similar FTC cases against Apple and Google were settled much more quickly, with both companies striking deals with the FTC in 2014. Affected users have a full year to file a request with the company. In the first hour of trading on May 30, the e-commerce firm hit the $1,000 mark per share.

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