Amazon has introduced a Rs 49 processing fee for customers who use Instant Bank Discounts (IBD) of Rs 500 or more, effectively reducing the savings consumers receive through banking partnerships. The fee, which took effect yesterday, applies to all customers including Prime members and is non-refundable even if orders are canceled or returned.
The e-commerce giant follows competitor Flipkart, which has already been charging a similar processing fee. According to Amazon, the fee helps cover costs associated with “aggregating, managing and processing bank discount offers” on their platform.
With this new policy, customers utilizing bank discounts will need to factor in the additional charge when calculating their savings. For example, a Rs 5,000 purchase with a Rs 500 bank discount will now cost Rs 4,549 instead of Rs 4,500.
The processing fee structure applies universally across Amazon’s customer base, with no exemptions for Prime members. However, customers using bank discounts below Rs 500 will not incur the additional charge.
Amazon’s help center clarifies that the fee will not be refunded under any circumstances, including order cancellations or returns.
This move could potentially influence consumer shopping behavior, particularly for purchases where the bank discount hovers just above the Rs 500 threshold. Shoppers may now find themselves adjusting cart values or reconsidering payment methods to optimize their savings.