No more Amazon Prime subscription for a month, here’s why
E-commerce platform Amazon has stopped offering a monthly Prime subscription in India. According to his update the support page, the e-merchant will only offer three-month and annual Prime subscription benefits. The new rules adhere to a warrant issued by the Reserve Bank of India (RBI). They have been effective since April 27.
“As of April 27, 2021, we have temporarily suspended: (i) the registrations of new members for Amazon prime Free trial and (ii) new member registrations for the monthly Prime membership until further notice, ”the company says on its support page.
The cost of the Amazon Prime subscription starts at Rs 129 per month. While the three month and annual subscriptions cost Rs 329 and Rs 999 respectively. With the new RBI mandate, the Rs 129 pack will no longer be available. Users will have to choose from the Rs 329 and Rs 999 Prime subscription plans. Amazon has also suspended free trials.
The new RBI mandate requires banks and financial institutions to implement an Additional Authentication Factor (AFA) in order to process recurring online transactions. RBI has set September 30 as the deadline for its implementation. In its support page, Amazon says that as of April 1, 2021, banks may no longer be able to process new requests for automated payments on your credit / debit cards.
However, they can “continue to enjoy the benefits of the Prime membership by renewing / signing up for the three-month or annual Prime membership”.
In accordance with RBI guidelines, transactions up to Rs 5,000 will require AFA authentication. The original deadline for the implementation of the framework was August 2019. But it has been extended until September 30, 2021.
What does AFA mean and transactions up to rs5000 mean