TEE #020 Etsy Payment Reserve Update - It's Good News!

Read time: 2 minutes

In this weeks TEE I have some great news! Etsy have finally listened to all of your complaints (and the bad press) and have changed the way they are handling payment reserves.  

Check out my latest video here for the full update (LINK)

Now, this means for some of the Etsy sellers, they may have to wait for an update to be processed but some sellers are seeing changes happening already.  I have seen clients go from 75% payment reserves down to 30% which is a huge improvement.

What is a Payment Reserve?

In a nutshell, it means Etsy will hold a percentage of your sale money for a number of days. Worse case scenario it can be 75% of your funds for 90 days from the sale date.  Now this is a killer if you have stock to purchase and bills to pay. It is not a fun situation to be in.

How to avoid a Payment Reserve?

Ideally, you should be able to fulfil 3 simple tasks:

- Providing tracking on all of your orders

- Reply to messages quickly

- Complete orders in your stated processing timeframe

What has been happening is that some sellers have been absolute angels and still getting put on payment reserve without warning or any communication.  

If Etsy keep to their word, there should be an improvement in communication and the ability to use different postage options particularly in the UK.  

I think this is a huge win for Etsy sellers, you spoke out, and they heard you!  Congratulations.  

Let's focus on the run up to Christmas, it is one of the busiest times to be selling on Etsy.  

If you're still looking for traction in your Etsy business, I'd recommend starting with one of the following:

1. → My Free Etsy Workshop: Perfect for you if you are just starting out on Etsy. Learn how you can turn your creative passions into cash to earn your first £1000 on Etsy.

2. → Join my Free Community: Successful Etsy Entrepreneurs is a Facebook community filled with creative people just like yourself all looking to grow their inline businesses.

3. → Join my VIP Members: Successful Ecommerce Entrepreneurs for only £27 a month.  With my expert guidance and actionable strategies in my private membership, you'll gain the skills and knowledge you need to build a profitable and sustainable online business.