Amazon to charge Rs 49 non-fundable fee on customers using bank discounts of Rs 500 or more

Amazon has introduced a processing fee of Rs 49 for customers using Instant Bank Discounts (IBD) of Rs 500 or more. This fee effectively diminishes the savings customers receive through banking partnerships.

To give an example, a Rs 2,000 purchase with a Rs 500 bank discount would typically cost Rs 1,500. However, with the additional charge, the total now works out to Rs 1,549.

Who does this fee apply to?


This fee, which took effect on Friday, applies to all customers, including Prime members. Importantly, the charge is non-refundable, even in the event of order cancellations or returns.

However, if the bank discount is below Rs 500, this fee does not apply.

Why is this charge being introduced?

Amazon explains that the fee helps cover the costs of "aggregating, managing, and processing bank discount offers." In simple words, it’s a small service charge for facilitating the discount.

Such processing fees are common on other platforms too, including the ecommerce site Flipkart.