Amazon has expanded the use of its payment model known as Delivery Date Based Reserve (DD+7), a system that determines when sellers can access the money from their sales. This model already existed previously, but it is now being applied more broadly across different accounts.
The key element of DD+7 is that the timing of payments no longer depends on when an order is shipped, but rather on when it is delivered to the customer. According to Amazon’s documentation and communications to sellers, funds are released seven days after the order has been delivered, not when it is dispatched.
What is Delivery Date Based Reserve (DD+7)
Delivery Date Based Reserve (DD+7) is a system in which Amazon temporarily holds the funds from a sale until two conditions are met:
- The order has been delivered to the customer
- Seven days have passed since that delivery
During this time, the sale amount appears as part of what Amazon calls “deferred transactions”, meaning transactions that are pending and not yet available for payout.
Amazon explains that this model helps align the timing of payments with the customer experience, ensuring that the order has been received before releasing the funds. It also states that this reserve helps cover potential issues such as returns, claims, or chargebacks.
How Amazon DD+7 payments work
The system follows a clear sequence within the order flow.
When a customer places an order, the amount does not go directly into the seller’s available balance. Instead, it is held as a deferred transaction. Once the order is marked as delivered, the 7-day period begins. Only after that week has passed are the funds released and made available for the next Amazon payout cycle.
Amazon has shared specific examples of this process in its communications to sellers. For instance, an order placed on January 1 and delivered on January 3 would have its funds available around January 10 or 11, once the seven days after delivery have passed.
Why Amazon applies this payment model
According to Amazon, the main purpose of the DD+7 system is to align payment timing with the actual order lifecycle. Instead of releasing funds at the time of shipment, payment is delayed until the customer has received the product—specifically, one week after delivery.
In addition, this model allows Amazon to maintain a temporary reserve to cover returns, claims, and potential chargebacks.
This change also reflects a standardization of payment policies across sellers, as this model had already been applied to certain seller profiles for years and is now being extended more broadly.
When sellers get paid under DD+7
Although the system is defined as “+7 days,” the total time to receive funds depends on several operational factors.
First, there is the shipping time until the order is delivered. From that point, the seven-day reserve period begins. After that, the funds are released and included in the next Amazon payout cycle. This means the total time to receive payment can be around 10 days or more, depending on delivery times and each account’s payout schedule.
What changes compared to previous models
Before the implementation of DD+7, some accounts received payments based on the shipment date or had fewer reserve restrictions. With the new model, the reference point shifts to confirmed delivery.
This change mainly affects:
- Sellers who were paid based on shipment date
- Sellers who did not have significant reserves
For these cases, the result is a longer time before funds become available.
Conclusion
The Delivery Date Based Reserve (DD+7) model represents a clear change in how payments work within Amazon. Access to funds no longer depends on when an order is shipped, but on when it is delivered and an additional seven-day period.
As Amazon states, this system aims to align payments with the customer experience and maintain a temporary reserve to cover potential issues. As a result, sellers need to take this new timing into account when managing the availability of their funds.
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