Amazon introduces non-refundable ₹49 processing fee: Know all about it

Amazon said the processing fee is intended to cover costs related to the 'aggregation, management, and processing' of bank discount offers on its platform

Amazon has implemented a ₹49 processing fee for customers availing Instant Bank Discounts (IBD) of ₹500 or more, effectively reducing the net savings from these banking offers. The fee, which came into effect on Friday, applies to all users, including Prime members, and remains non-refundable even if an order is canceled or returned.  

 

This policy aligns Amazon with its competitor Flipkart, which already levies a similar charge. According to Amazon, the fee is intended to cover costs related to the "aggregation, management, and processing" of bank discount offers on its platform.  

 

Customers using bank discounts must now consider this additional charge when assessing their savings. For instance, a ₹5,000 purchase with a ₹500 bank discount will now cost ₹4,549 instead of ₹4,500.  

 

 

The processing fee applies universally, without exemptions for Prime members. However, those availing bank discounts below ₹500 will not be subject to this charge.   

In an official statement, Amazon India said, “As part of our commitment to providing valuable savings opportunities to our customers, a nominal offer processing fee is applied to help offset the costs associated with delivering benefits like instant bank discounts. This is in line with standard industry practices.”

 

Who needs to pay this fee?  

 

-Any customer using a bank discount of ₹500 or more

-Prime members are not exempt — this applies to all users

-Discounts below ₹500 are not subject to this fee

 

Amazon's help centre confirms that the fee remains non-refundable under all circumstances, including order cancellations or returns. This adjustment in policy may influence consumer shopping patterns, particularly for those whose discounts are just above the ₹500 mark, potentially prompting them to modify cart values or reconsider payment methods for better savings.

 

What happens if you cancel or return the order?  

 

Even if an order is canceled or returned, the ₹49 processing fee will not be refunded. Once applied, the charge remains non-refundable.  

 

Why is Amazon imposing this fee?  

 

According to Amazon, the fee helps offset the costs associated with managing and processing bank discount offers. Essentially, it functions as a service charge for facilitating these discounts.