Hunting for discounts on Amazon? Get ready to pay additional ₹49 on your carts; here's why

Amazon has introduced a ₹49 processing fee for customers availing Instant Bank Discounts (IBD) of ₹500 or more, effectively reducing the overall savings from these offers. The new policy, which came into effect on Friday, applies to all users, including Prime members, and remains non-refundable even in cases of order cancellations or returns.

Impact on Customer Savings

With this additional charge, customers need to reassess their savings when using bank discounts. Any purchase with a ₹500 bank discount will now immediately add ₹49 to the final amount. This policy could influence shopping behaviour, especially for those whose discounts hover around the ₹500 threshold, potentially leading them to modify cart values or reconsider payment methods to optimise their savings.

Who is Affected?

• Any customer using a bank discount of ₹500 or more.
• Prime members are not exempt from the fee.
• Discounts below ₹500 are not subject to the charge.

Non-Refundable Nature of the Fee

Amazon's help centre clarifies that the processing fee will not be refunded under any circumstances, including cancellations and returns. Once applied, the charge remains final.

Why is Amazon Imposing This Fee?

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

Amazon’s latest move underscores a growing trend among e-commerce platforms to introduce service charges on promotional discounts, impacting how consumers approach their online purchases.