Deferred Transactions for Amazon (FBA) Fulfilled Orders? When did that start?
I've been a (mostly) FBA seller for 3 years. Starting on October 30th, it seems every single Amazon fulfilled order is now being categorized as a deferred transaction. This means I won't see that money in my Amazon seller account until the product is delivered + 7 days has passed.
Here is the crazy part... the policy loosely says this is for merchant fulfilled orders; not FBA. So why then are every single "Standard Order" being fulfilled by Amazon being classified as a deferred transaction? I understand that some business customers opt for being invoiced. That's fine and not the problem here. The problem I have is with the regular everyday customer buying a product that is shipped via FBA is now being classified as a deferred transaction. WHY?
Here is the "Payments based on delivery date policy": https://sellercentral.amazon.com/help/hub/reference/202124090
Here is the "Deferred Transaction" definition and policy: https://sellercentral.amazon.com/help/hub/reference/GLRNLZDAKHDBBVBY
16 replies
Seller_7LrAV0m5llaI7
It started on October 22nd for us for FBM orders too and Oct 27th for FBA orders.
If you click on all your deferred transactions, it shows a release date for each and every transaction. Usually 6 days after delivery. Yes, it is lumped into the same spot now as the 30 day invoiced transactions, but you can click on them and see.
It would seem that they are trying to be more transparent on what is held in reserve for orders instead of just lumping it all into account level reserve.
Read the new highlight in the policy:
"Note: Previously, sales proceeds withheld through Delivery Date-Based Reserves appeared as a lump sum amount "Account-Level Reserves" on your Payments Dashboard. This is now shown as deferred transactions so that you can know exactly which orders are subject to these policies and for how long they will be reserved."
Seller_LlUiLE7aY45QL
@Seller_7LrAV0m5llaI7 Deferred payments as Amazon is describing seem more for merchant fulfilled orders... does it not? Since Amazon moves the inventory around and ships it, the condition of an item when it gets to a customer has more to do with Amazon's negligence than the merchant at that point.
Seller_7LrAV0m5llaI7
FBA shipments was always subject to account level reserve unless you had an old grandfathered in account.
Seller_24FzucbyGtgZS
Simple answer - because it NOT Amazon's money and by holding YOUR money and NOT paying you any interest that means Amazon gets free use of it without having to borrow.
Seller_0JPr9SKtBQNEO
I am having the exact same issue. I just spoke to an Amazon customer service rep who said they implemented this policy since Nov 1. I was so confused at first. In the end, the payouts should not be affected, although it makes it more difficult to track orders/inventory.
Seller_rBzps3zYO8z95
AMAZON IS PORTECTING ITSELF FROM THE COLAPSE OF THE US ECONOMY AND THEY ARE GOING TO USE SELLERS MONEY AS THERE ON BAIL IN. WE CAUGHT THEM LAST MONTH CHARGING OUR STORE FOR SERVICES WE DONT AND HAVE NEVER USED. WE HAVE OPENED CASES AND WAS TOLD BY AMAZON EMPLOYESS WE NEVER USED THOSE SERVICES BUY THEY REFUSE TO REFUND US 36K. WE AND IT SEEMS MOST AMAZON EMPLOYEES WHERE LEFT IN THE DARK TO THIS CHANGE I DID NOT AGREE TO HAVE MY SALES DEFFERED AND IT SAYS WHEN YOU WILL GET PAID IN THE DEFFRED PAYMENTS WELL THAT IS WRONG ALSO I HAVE SALES THAT WHERE TO CLEAR DAYS AGO AND NOW WE ARE OWED OVER 55K AND NO ONE ONE HERE WILL GIVES US AN ANSWER OR REFUND, WE HAVE SHUT OUR STORE OFF THANKFULLY WHERE ARE FBM, STOP SELLING AMAZON GETS PAID IN 24 HOURS HOLDING YOUR MONEY FOR A MONTH IS BULL.
Seller_1YZ9rTtxfTh4G
This is definitely NOT just FBM. I have about 80% of all orders deferred now, and the payments have reduced significantly. Normally, it would show about half of the total amount being paid in 2 weeks, and now it's only about 20%. That's a huge difference to a smaller seller. I don't believe it's some way to be more transparent. They're holding it longer.
I've only been selling for just under two years, but I've made great progress these last few months. I've felt that Amazon was actually holding less than they used to earlier on, and now this. When I project I should have about a $7000 payout in 2 weeks I only have $2000.
Seller_9YGyc0sQTXKzB
This is infuriating and makes no sense other than Amazon taking advantage of us.
Seller_gUG9CVD7zQyEa
Wow this is unvelivable! We have been selling on amazon since 2020 - FBA sellers!. Since then, every single day we have been downloading the daily payment report to review the daily performance of our account and make prompt decisions. How could they make a change in the policy so unexpectedly and all of a sudden? It seems that Amazon wants to make it more confusing for sellers to understand their actual performance ! Crazy
Seller_oDXVaydIpi3Hi
Amazon is clearly struggling based on all of these policy changes that impact their cash flow. Writing is on the wall. Next they'll probably offer a faster payout if you give them an additional incentive. A lot of VC accounts with C2FO and the like that ended up being 1-2%.
