Many merchants operating stores on TikTok's e-commerce platform have recently encountered an unexpected issue: just as they were about to withdraw their sales proceeds, they received notifications about withdrawal restrictions due to insufficient store deposits. This situation, while frustrating, is not isolated. Here we examine the underlying causes and provide effective solutions.
1. The Hidden Cause Behind Withdrawal Restrictions
Numerous merchants reported receiving platform alerts about insufficient deposits despite having no policy violations. The root cause appears to be recent adjustments to TikTok Shop's deposit requirements. Certain product categories have seen significant increases in their required deposit amounts.
For instance, some merchants found themselves affected because their stores included categories like "collectible toys/anime merchandise/cosplay/board games > mystery boxes," even if they weren't actively selling these items. The deposit requirements for these categories have quietly increased.
2. Immediate Verification: Is Your Store Affected?
Merchants should promptly check their store's product categories against the updated deposit requirements:
- Positive change: Second-hand designer footwear and clothing categories have seen their base deposits reduced from 100,000 to 50,000 units.
- Negative change: Certain collectible categories like woodcraft/calligraphy/coins/collectibles—specifically agarwood leaf subcategories—have increased from 20,000 to 100,000 units.
- Significant increase: The "fresh produce > fresh produce vouchers > crab vouchers" category has seen deposits skyrocket from 2,000-4,000 to 500,000 units.
3. Resolution Options for Affected Merchants
For merchants facing deposit-related withdrawal restrictions, two primary solutions exist:
Option 1: Remove Unused Categories
If your store includes but doesn't actively sell products from affected categories, simply removing these categories through your store's backend settings can resolve the issue.
Option 2: Supplement Your Deposit
For merchants who actively sell products from affected categories, the only solution is to supplement the deposit according to the platform's updated requirements.
4. Strategic Category Selection for Future Protection
To prevent similar issues, merchants should carefully select product categories that align with their actual business operations. Avoid adding categories you don't actively sell or lack supply chain advantages for. Additional categories can always be added later through the store's backend if business needs change.
5. Understanding TikTok Shop's Deposit System
The platform employs three types of deposits:
- Base deposits
- Variable deposits
- Activity-specific deposits
Merchants are required to maintain the highest of these three amounts. Withdrawal restrictions may also occur if a store's 30-day GMV reaches variable deposit thresholds, requiring additional deposits.
6. Operational Recommendations for Sustainable Growth
The most successful stores typically focus on core product categories, implementing targeted operational strategies. Frequent category changes can dilute store identity and make customer acquisition more challenging. Concentrating on primary categories allows for deeper market penetration and more sustainable business growth.