Amazon Fined $2.25M for Obstructing Fraud Victims' Access to Records
The FTC has fined Amazon $2.25 million for failing to provide transaction records to identity theft victims, hindering their ability to dispute fraudulent charges and recover funds.
Amazon has been ordered to pay a $2.25 million civil penalty to the U.S. Federal Trade Commission (FTC) for allegedly obstructing victims of identity theft and fraud from accessing crucial transaction records. The settlement resolves charges that Amazon's practices violated the Fair Credit Reporting Act (FCRA), specifically Section 609(e), which mandates the provision of such records.
The FTC's complaint detailed how Amazon customer service representatives frequently denied consumers access to records of fraudulent transactions made in their names. These denials were often justified by vague reasons such as "privacy" or "security," despite the legal requirement to provide the information. In instances where records were eventually provided, the company often exceeded the 30-day timeframe stipulated by the FCRA, further complicating victims' efforts to rectify fraudulent activity.
Compounding the issue, the FTC noted that Amazon agents sometimes claimed they were unable to access the requested records at all. The company's non-compliance extended to law enforcement agencies, who, despite being authorized by consumers to request records on their behalf, were also denied access. Some victims resorted to sending copies of the FCRA and FTC guidance directly to Amazon in an attempt to compel compliance, but these efforts were reportedly unsuccessful.
The proposed order mandates that, in addition to the substantial fine, Amazon must now ensure that lawfully requested records are provided to identity theft victims and authorized law enforcement agents within the 30-day period required by the FCRA. This aims to rectify the systemic delays and denials that have plagued affected consumers.
Furthermore, Amazon is required to proactively notify consumers who requested records since April 2024 but did not receive them. These individuals will be informed that they are eligible to request additional records, providing a pathway for those previously stonewalled to obtain the necessary documentation.
This is not the first time Amazon has faced regulatory penalties for consumer protection violations. In 2019, Kohl's Department Stores paid $220,000 for similar violations. More recently, Amazon agreed to a $25 million fine in July 2023 to settle allegations concerning the violation of children's privacy laws related to its Alexa service. In September 2025, the company also paid $2.5 billion to resolve a lawsuit over its Prime membership practices, which alleged the use of dark patterns to facilitate enrollment and hinder cancellations.
The FTC's action underscores the importance of timely access to financial and transactional data for individuals seeking to combat fraud and identity theft. By imposing this penalty, the commission signals its commitment to enforcing consumer protection laws and holding large corporations accountable for obstructing victims' rights.