Account Level Reserve for New Sellers
We are a new seller for this company (although we previously sold on a different account - in good health - for over 10 years). I knew we'd initially have an account level reserve. We've been selling on this new account for two weeks so it's no surprise that all funds are currently reserved. My question is: How long does it take for funds to start being released? The info would really help in planning cash flow. I'd appreciate your responses.
5 replies
Micah_Amazon
Hello @Seller_W0DG9XImyjylo,
Thank you for reaching out. It is a normal part of selling on Amazon to see funds in the Account level reserve section of the Statement View tab on your Payments report. It’s the amount of money that is reserved to ensure that you have enough funds to fulfill any financial obligations, such as refunds, claims, or chargebacks.
Common reasons for an account level reserve
You are subject to delivery-date based reserves
We typically reserve your sales proceeds until a certain number of days after the delivery date of an order to ensure you have enough funds to fulfill any financial obligations such as refunds, claims, or chargebacks. For more information, go to Payments based on delivery date.
You have open A-to-z Guarantee claims
When an A-to-z Guarantee claim is filed, the claim amount will be reserved until the claim is resolved. Some claims can take up to 14 days or longer to resolve, but the reserve will be released after the claims are processed.
One or more of your orders has received a chargeback
Money might be reserved if your account has any chargebacks from transactions in the last 90 days. The reserve will be released after the chargebacks are processed.
Your seller performance has fallen below our benchmarks
Money might be reserved if performance metrics fall below our benchmarks. Lower metrics frequently indicate a higher likelihood of claims, chargebacks, and returns. Visit Account Health page regularly to monitor your seller account’s adherence to the performance targets and policies required to sell on Amazon.
Your account is under review
We might reserve funds if we notice an unexpected change in your sales or account activity, or if you are a new seller with estimated delivery times that are longer than your settlement period. Refer to Account health FAQ to learn how to maintain great account health.
Local regulations require us to withhold income tax from you (varies by store)
Money might be reserved depending on your tax registration status and Amazon’s responsibility to withhold and pay income tax based on your sales.
Multiple reasons for account level reserves can be applied at the same time. For example, if an order for $40 has incurred a chargeback and an order for $20 has an open A-to-z Guarantee claim, the total account level reserve from those two orders would be $60.
Since there are many factors, we do not have a specific timeframe as to when payments will be processed once the ALR have been met.
You can also view our resources on why didn't I get paid?
Please let me know if you have additional questions.
Cheers,
Micah