Starting October 23, Amazon is rolling out a significant Amazon policy update to its reimbursement rules that all FBA sellers must be aware of. The time window for filing reimbursement claims will be considerably shortened, which could impact your ability to recover funds for lost, damaged, or mishandled inventory.
With this Amazon seller policy update, staying alert with your account and promptly addressing any discrepancies is more important than ever. Acting quickly will ensure you don't miss out on potential refunds under the new policy.
Main Amazon Reimbursement Policy Updates
Even before this update, managing the reimbursement process was challenging, requiring constant attention to detail. With Amazon cutting down the time allowed to file claims, it will become even more difficult.
Let's take a look at the key changes in the Amazon FBA seller reimbursement policy update and the new time frames.
Lost & Damaged Inventory (FBA)
Type of reimbursement: inventory was damaged/lost while in the FBA warehouses.
Previous time frame: 18 months after the Inventory Ledger report shows the loss or damage of inventory.
NEW TIME FRAME: 2 months.
Customer Returns/Refunds
Type of reimbursement: inventory was damaged/lost while being returned.
Previous time frame: 60 days after Amazon issues the refund or replacement to your customer, the time frame opens. The time frame used to be 18 months.
NEW TIME FRAME: 4 months.
FBA Removals
Type of reimbursement: inventory was damaged/lost while being delivered from the FBA facility to your warehouse.
When does the time frame open?
- Lost: 14 days after the last delivery tracking update.
- Damaged: right after receiving inventory.
- Dispute about inventory condition: within 30 days of delivery.
Previous time frame: 18 months after the applicable starting date.
NEW TIME FRAME: 2.5 months.
Inbound Shipment & Fee Reimbursements Stay The Same
The Amazon FBA reimbursement policy update does not affect these two types of reimbursement; their time windows stay as they were.
Type of reimbursement: inventory was damaged/lost while being delivered to Amazon FBA warehouses, OR weight & dimension fees are incorrect.
Time frame for inbound shipment: 9 months.
Time frame for incorrect fees 3 months.
What Is The Action Plan For Sellers?
Amazon seller reimbursement policy update will make things a bit tough. To protect their profits, sellers must act quickly and get their refunds while they can.
Option 1: Constant Auditing
With the reimbursement policy update FBA management will become even more complex. One way to manage this change is by auditing your account constantly. It means:
- Reviewing your account daily to catch any issues as soon as they arise;
- Acting quickly to meet the new, shorter deadlines;
- Staying persistent with Amazon.
Option 2: Hiring Reimbursement Services
Given the new, shorter claim windows, hiring a service like Regainables can save your funds before the deadline hits.
- Regainables handles the entire reimbursement process, from auditing to claim management;
- Regainables will ensure you don’t miss any refund opportunities;
- Our expertise and automated tools efficiently track and recover funds.
Catching up on 18 months' worth of claims within 90 days is a real challenge. With the new reimbursement policy update Amazon is giving sellers until October 23rd the chance to submit claims for eligible reimbursements or risk losing their funds. After this date, the timeframe to review and recover funds will be reduced to just 2 months.
Don’t let the Amazon FBA policy update catch you off guard. Join Regainables today to streamline your reimbursement process and ensure you recover every eligible penny.
