Amazon Account Level Reserves
Hello,
Looking for some advice, twice in the last 2 payments at the last minute Amazon has kept the majority of my payment in reserve, as an example this payment is below -
Net Proceeds
21/11/2023 - Present
£237.48
Beginning balance
£205.04
Sales
£2,473.07
Refunds
-£33.44
Expenses
-£1,658.19
Account Level Reserve
-£749.00
I understand an amount requires to be held for refunds etc, but the value I personally think is very excessive, I have contacted them and received the usual copy and paste answer
Amazon Account Level Reserves
Hello,
Looking for some advice, twice in the last 2 payments at the last minute Amazon has kept the majority of my payment in reserve, as an example this payment is below -
Net Proceeds
21/11/2023 - Present
£237.48
Beginning balance
£205.04
Sales
£2,473.07
Refunds
-£33.44
Expenses
-£1,658.19
Account Level Reserve
-£749.00
I understand an amount requires to be held for refunds etc, but the value I personally think is very excessive, I have contacted them and received the usual copy and paste answer
6 replies
Seller_hOZNPw7G8FIjl
The account level reserve (ALR) is based on delivery - either estimated delivery date (EDD) +7 days or the actual delivery date + 7 days whichever is sooner.
If you do not use a tracking service Amazon cannot tell when items are delivered so they will go on EDD+7 days.
It is a rolling figure, obviously, and the more orders you have the more money will sit in reserve until the EDD+7 has passed.
The other downside of ALR is that sellers will never get all their money disbursed, until either (a) they go on holiday mode till the last EDD+7 or they shut up shop for good,
Seller_Fg2fqaWOnEtha
It's probably correct therefore they have nothing to tell you anyway. I am in the same position, my products are mostly inexpensive, yet they keep in reserve 20 times my average monthly refund amount. That's why I spent more time on eBay and Etsy these days, at least they pay within a day or so. Basically, although business is on Amazon, I am always short of cash with this system and I have to buy stock ' just in time' rather than buying larger quantities that would allow me to make more profit. Amazon offered me a loan to add insult to injury.