Imagine selling products, having them delivered to customers, but waiting weeks to receive payment. This scenario is about to become reality for Amazon sellers worldwide. The e-commerce giant recently announced a new "Delivered Date + 7 Days (DD+7)" payment reserve policy, set to take effect globally on March 12, 2026, presenting significant challenges for cross-border sellers.
Extended Payment Cycles: A Cash Flow Challenge
The policy shift fundamentally changes how Amazon releases seller funds. Instead of basing payments on shipment or order dates, Amazon will now use the delivery confirmation date as the starting point, then hold funds for an additional seven days before making them available. This extension significantly impacts sellers' working capital cycles.
Previously, sellers could request funds shortly after shipping. Under the new rules, payments remain locked until both delivery confirmation and the seven-day holding period pass, creating potential cash flow bottlenecks.
Understanding DD+7: A Two-Stage Holding Process
The updated payment flow works as follows:
- After shipment: Funds appear as "pending transactions"
- Upon delivery confirmation: Money moves to "reserve" status, starting the seven-day countdown
- After seven days: Funds become "available balance"
- Withdrawal: Sellers must still wait through standard settlement cycles or manually request transfers
This dual holding mechanism—first awaiting delivery, then enduring the additional week—effectively doubles the time funds remain inaccessible.
Payment Timeline Comparison: Significant Delays
Amazon provided an illustrative example: For a January 1 sale delivered January 3, funds wouldn't become available until January 11.
Seller reports highlight the dramatic difference:
- Old system: Ship February 2, receive funds by February 6 (5 days total)
- New system: From shipment through delivery and seven-day hold, plus standard settlement, funds might take up to one month to become accessible
Global Implementation: Uneven Impact Across Business Models
The policy applies uniformly across all Amazon marketplaces—North America, Latin America, Europe, and others—but affects sellers differently based on fulfillment methods.
Fulfillment by Amazon (FBA) sellers experience relatively minor disruption, as their operations already align with similar timelines. However, sellers using Fulfillment by Merchant (FBM) face substantial pressure, particularly in regions like Latin America where longer shipping times could extend fund holding periods to 20-30 days.
Operational Consequences: From Profit Calculations to Inventory Management
Early feedback from North American test markets reveals multiple operational challenges:
- ERP systems generating inaccurate profit data due to payment delays
- Some orders appearing unprofitable or showing losses
- Disrupted inventory replenishment schedules
- Difficulty meeting financial obligations like shipping payments and payroll
Sellers with poor performance histories or operating in high-risk categories may face even longer reserve periods.
Adaptation Strategies: Protecting Business Continuity
Sellers must implement proactive measures to navigate the new financial landscape:
1. Account Status Verification: Review Amazon seller notifications to understand specific policy applications and develop transition plans. Assess account risk levels to anticipate potential reserve extensions.
2. Cash Flow Assessment: Evaluate working capital reserves to ensure sufficient liquidity for procurement, advertising, and other critical operations. Consider negotiating extended payment terms with suppliers or exploring financing options.
3. Logistics Optimization: FBM sellers should prioritize reliable carriers with strong delivery confirmation rates and tracking capabilities. Partnering with multiple logistics providers can mitigate risk while identifying cost-effective solutions.
"On-Demand Payments": A Partial Solution
Amazon will introduce complimentary "On-Demand Payments" alongside the new policy, allowing daily fund requests after reserves lift. However, this feature doesn't shorten the mandatory seven-day holding period, meaning sellers must still adapt to longer overall cash conversion cycles.
Countdown to Implementation: Time for Action
With fewer than 50 days remaining before global implementation, sellers must urgently adjust operations. Strategic responses including financial planning, logistics optimization, and operational efficiency improvements will determine competitiveness under the revised payment framework.