375k hold due to account verification, borrowed 100k to keep the cash flow running


#1

Dear Sellers,

Our account verification has been over a month now, and we had to borrow 100k to support the cash flow during busy Xmas season. We are completely out of funds now.

Covid-19 has definitely caused issues to operations to all companies. But cash flow is the lifeblood of any business, without it survival is very unlikely.

For those who have been in the same situation, have you passed the verification process or still waiting like me?

Regards,
Dani


#2

It isn’t just you. I hope this thread can help at all


#3

that’s why I am asking whether the verification team has started getting accounts verified yet? Have anyone got any good news?


#4

Some are getting done really quickly, others are dragging on for too long. I don’t think anyone can say why such a disparity exists.


#5

It’s a joke on here at the moment, absolutely no way to run a business.

I am owed under £1k but it’s the principle, deactivated in November, rejected latest bank statement, so 2 emails to the MD in early December and no reply.

So, on the 22/12 I sent a LBA to the HO in London and emailed the MD the same giving them 21 days to resolve the issue or they can expect a Summons to arrive, within 7 days a personal reply from one of his minions, account reinstated and funds now available to disburse.

If I was owed the sums many are owed on here, I would not be waiting around for weeks/months while Amazon got round to looking at my submissions and then rejecting them.

I would also be looking very quickly in getting away from here before they actually finished off my business.


#6

I see your forum profile was started in 2019 - was that when you joined Amazon as a seller or just the forum ?

If so, if this a KYC verification, change of details or velocity review as £350000 in just over a month would probably cause that

Have they asked you for anything ?


#7

My account has been de activated with no reason stated and so I am going round in circles. Please can you let me have the details of the senior persons that you contacted so I can do the same? Also, what is in LBA please?
Thank you for any help - mental health really struggling with the stress of this


#8

Hi

LBA - Letter before Action.

Do a web search, it is what you must send before starting any legal action. There are various examples on line that you adjust to your circumstances, many relate to unpaid invoices but just substitute this with your Seller Disbursement plus any other costs.

I emailed the managingdirector@amazon.co.uk but sent the LBA by 1st class post to The Legal Dept, Amazon Services UK Ltd HO address in London, again the address is available with a search. I also emailed the MD a copy of the LBA. I gave 21 days to reply but that was with the Xmas holidays, 14 days is more normal.

If they don’t respond you can issue a Summons, now that extends the clock since it may be a few months before it gets to a Judge BUT it concentrates the mind at Amazon and seems to me to be the only way to by-pass the hopeless verification system at the moment and finally access YOUR money.


#9

Thanks SO much for your help - it is really appreciated. Amazon owe me a couple of thousand, but what I am so confused about is the de activation of my account and no e mail to tell me what the issue is. I want to appeal but how do I know what to appeal? They have repeatedly sent me a link to click for help and every day it says service not available at this time?
I don’t know what action I could state in an LBA when what I want is a reason for a suspension.
Sorry to sound clueless


#10

An LBA is used to start the process to reclaim money due, not directly to resolve your deactivation issues.

BUT the 2 are linked.

It is very likely that by starting a claim for the £2k, which you cannot access because of the deactivation of your account, then in allowing you to access your money Amazon HO in London will resolve the deactivation - that is what happened to me.

Basically, by directly involving the HO in London then they are sorting out your account issues, as long as they are genuine and you are not waiting on some faceless department located goodness knows where in the World, who at the moment, could not organise the proverbial in a brewery.


#11

Heres little old me with 3k stuck in amazon, i think every time you get a return it pushes back the disbursement date


#13

This is terrible how Amazon treat sellers - surely they should be answerable to someone.


#14

Its a rudderless ship and seems to be getting worse
Our account was deactivated whilst in verification despite submitting the same documents as previous and in date.
On here 10 years with no changes in address or bank accounts.
Received an email to say the bank statement was partially illegible but as it was a PDF sent to us direct from the bank i could see it was totally legible.
The manager also sent us a certification letter with the statement signed and stamped by the bank so i resent the statement and included the certification letter.
By chance the Statement had recent payments showing from Italy,france and Spain but they rejected it and the account is now deactivated
Now if documents are to verify who you are then surely if you have a statement showing recent payments from your own companies in the EU then common sense has to prevail.
Can only think the Verification dept is in India


#15

No not really. My disbursements have been on hold since mid-November but not as much in total as some. The actual money is only relative to the individual business. All the problems are in the main the same. Can’t pay bills, can’t buy stock, no cashflow etc. We all know the damage done. I have been selling on Amazon for over 12 years and have never had to cope with this before. Is it anything to do with the investigation in the US into Amazon’s methods?(anti-trust I think) I read about this and the potential outcome of a huge fine that will need paying. Any one got any ideas?? There is a plan behind this somewhere!!


#16

i am very sorry to say but i just cannot get my head around how someone is owed nearly 400k or 90k as in the other post and asking on the forum how to proceed.
the other guy had 80 lifetime feedback on amazon uk and less on de and an american company. i am not disputing anything but after selling on amazon for over 6 years and having a high 7 figure turnover business, i can completely honestly state that we would have taken the legal route way before if amazon owed us even 10k… I “PERSONALLY” am not able to believe that the whole story is being laid out here on the forums…
i do apologise if i have the wrong end of the stick, BUT this seems to becoming a recurring theme with money being blocked and astronomical amounts being thrown about as withheld.


#17

They sometimes like to play God and the customer service very under par by western standards. They are very dismissive or just ignore you


#18

It is because they are not governed that they get away with it and cos we need the money


#19

Hi everyone,

For those of you who have been waiting months I’d escalate even to Jeff himself. He’s at Jeff at amazon dot com I believe. As others have said - don’t have a go. Tell them the situation it has left you in, and how your business is going under because they are holding your money. Tell them how many staff you are not able to pay - in other words, lay it on thick how their inactivity is affecting you.

I’ve experienced something similar to this where I made some mistakes with a few products and actually had the dreaded “this is our final decision - you cannot sell on Amazon” and it caused an almost emotional breakdown because selling on Amazon WAS my business, and I had a load of stock to send in, and thousands of pounds of stock already in FBA warehouses. What it’s done is teach me to diversify - been working on our own website, and we also sell a fair amount on Ebay too now. However, unfortunately we are still in the same position where if they pulled the plug on us we’d go under.

Regarding the payments verification - I think we were the luckiest people on the amazon selling planet. We got the payments verification triangle, no requests for documents, but I was unable to dispense that evening. I dispense daily so that I can be sure I’m getting as much out as regularly as possible just to make sure we are not left with no money again. Literally 20 minutes later we got successfully verified. So as I said - luckiest amazon seller ever. It’s my ethos now to never change anything in my amazon settings (like bank accounts, etc) so that I can limit the chances of a verification like this.

But I agree - I think that this process should change. Fine to verify a seller, but don’t hold their funds or stop them selling while you verify, unless they do not provide you with the information you are asking for. They seem to have changed how they suspend now in that they tell you to appeal and if you don’t appeal successfully THEN you will be suspended. So they are listening to us… Maybe everyone in this situation needs to bombard Jeff and the managing director with how this process is ending our businesses, and making Amazon the riskiest selling platform out there? They keep putting polls up asking us if we feel they honestly care about us and our success… So they do at least WANT to be a safe platform for sellers.

Anyway, that’s my 2 cents worth. I hope everyone here who is currently not able to disperse gets their situation sorted asap.

Leanne


#20

Guys send an email to

{Moderator Edit (Jessica): e-mail address removed}
[seller-verification-review@amazon.co.uk)

Just explain to them your situation, be nice about it.

All of the above from your linked email address.

They released my funds, I was able to transfer my funds but my account is still being Verified.
They didn’t actually reply back to me but funds were available for transfer the following day.


#21

Could you share the what contained in the Legally Binding Agreement LBA) please? My account got deactivated around end of November and they have already said we cannot exchange any further correspondence regarding this matter. I have appealed several times, have also submitted a plan of actions with detailed changes I would be engaging in future, but nothing.

Any help would be appreciated.