Amazon is changing how sellers are paid again—and this one has some potential to be a significant cash flow management driver. Starting March 12, 2026, Amazon will utilize a DD+7 reserve system, which changes when funds are paid out to sellers.
This sounds like a small policy change, but to most sellers—especially lean operators—it can be financial headaches that trickle down into inventory planning, ad budget, and day-to-day operations.
What is the DD+7 Reserve System?
Until now, sellers typically received payouts based on when an order was shipped. With the new system, however, Amazon will hold funds until seven days after the order is delivered.
Here’s a simple example:
If a product is shipped on January 3, the money associated with that order will not be released until January 11.
Amazon has said that this hold allows the site to charge fees and ensure that customers have received their purchases and had time to inspect them. As understandable as this explanation is on its face, most sellers don’t view it the same way. For them, it is less about being a safeguard for buyers and more about Amazon’s desire to get to keep money longer—money that sellers need to operate their shops.
Why This Matters for Sellers
Cash flow is the lifeblood of any e-commerce company. Even a brief lag in payments can cause logjams, especially for thin-margin or high-cost-of-goods businesses. Here’s where the pinch will be felt most:
- FBM (Fulfilled by Merchant) Sellers Experience Additional Risk
For individual sellers shipping their own orders, the change presents new unknowns. Postal carrier delays with USPS, UPS, or FedEx may keep money on hold longer, as the clock on payout begins only after delivery is made.
- Low-Value or Untracked Shipments May Get Stuck
Some merchants employ untracked mail for inexpensive items in order to minimize costs. Without a delivery scan, these shipments can be marked as undelivered within Amazon’s system, and in turn, payments may be stalled indefinitely.
- Cash Flow Drought During Peak Sales Periods
Situations such as Prime Day, Black Friday, or the holiday season require high spending in inventory and advertisements in advance. When payouts are delayed during those windows of opportunity, sellers can become stretched thin and cannot reinvest fast enough to match demand.
The Bigger Picture: Why Amazon Is Doing This
Amazon frames this update as a step to protect customers and make transactions easier. But it is also apparent that keeping billions of dollars in seller payments, even for an additional few days, lets Amazon earn interest on that money.
For small businesses and entrepreneurs who rely on Amazon, this presents an unfair advantage. Bigger businesses are able to bear the delays since they have more resources at their disposal, but smaller sellers might have to cut back or raise more money to compensate for the loss.
How Sellers Can Prepare
While the change is outside of sellers’ control, there are steps you can take to soften the impact:
- Review your cash reserves now. Make sure you have sufficient liquidity to ride out at least an additional week of payment delays.
- Track your carrier performance. If you’re FBM, work with reliable carriers and prioritize services that provide delivery scans.
- Plan for seasonality. Build in buffer capital for Q4 and peak sales periods so you don’t run into reinvestment delays.
- Explore financing options early. Whether it’s Amazon Lending, a line of credit, or a third-party funding partner, don’t wait until you’re in a crunch to secure support.
Final Thoughts
The DD+7 reserve regime may seem a small tweak, but in reality, it’s a significant realignment of the pace at which vendors can get their hands on their earned income. To many, it will prove to be an exercise in fiscal restraint and business responsiveness.
Although Amazon positions this as a customer-driven initiative, the truth is evident: sellers will have to get their strategies and cash flow projections in check to remain healthy. The optimal strategy is to plan ahead now—before March 2026—so that the shift does not take your business by surprise.
After all, in e-commerce, adaptability tends to distinguish the success stories from the strugglers when new regulations enter the scene.
