Why new seller's balance on Amazon show as negative?
For new sellers on Amazon, sometimes there may be a negative total balance, so what exactly causes this to happen? The specific contents are as follows
1.Amazon Platform Fees Deduction
Selling products on the Amazon platform requires payment of various platform fees, including commissions, storage fees, advertising fees, and more. If a seller's account balance is insufficient to cover these fees, it can result in a negative total balance.
2.Returns and Refunds
If products sold by a seller are returned by buyers or refunds are requested, and the seller's account balance is insufficient to cover the refund amount, this can also lead to a negative total balance.
3.Account Settlement Period
Amazon has specific settlement periods for seller accounts. If the seller's sales within this period are insufficient to cover costs and fees, it can result in a negative total balance.
4.Currency Exchange Fluctuations
For sellers involved in international sales, currency exchange rate fluctuations can contribute to a negative total balance. If a seller receives payments in a currency other than their country's currency and unfavorable exchange rate fluctuations occur, it can lead to reduced actual income or even negative figures.