When Does Etsy Pay Sellers From Sales?

By Scott Voelker •  Updated: 04/08/23 •  9 min read

Opening a store, whether an online store or a brick-and-mortar store, can be nerve-wracking. Between deciding on the name of the shop, creating the products, and working out the logistics of shipping and order placement, it can all feel overwhelming. 

After setting up your shop, receiving your first customer, and making your first sale, there's nothing quite like it.

Knowing how a site such as Etsy works when it comes to payments is important. By using the payment system, you can avoid cash flow problems in your store and reduce the likelihood of owing fees resulting in cash problems.

What is Etsy Payments?

Etsy payments is a secure online payment platform enabling sellers to accept buyer payments. With Etsy payments, sellers can accept major credit cards and PayPal for their products and services. 

Through the platform, buyers can pay for their products quickly and easily with no additional charges or fees to their one. 

Etsy servers securely process all payments, ensuring the safety of both parties involved in the transaction.

How Does Etsy Payments Work?

The platform primarily uses Etsy Payments as its payment system. It allows sellers to accept various payment methods, including credit cards, debit cards, Etsy Gift Cards, Etsy Coupons, some bank transfer services, PayPal (where available), Apple Pay, and Google Pay.

To set up Etsy Payments, sellers must link their bank account and complete the required identity verification process. Once set up, Etsy Payments automatically deposits funds into the seller's linked bank account.

When a seller makes a sale, the funds are first deposited into their payments and then deposited into their account according to their chosen schedule.

While the process is pretty simple, sellers, both new and established, should be aware of several things regarding the payments.

Requirements for Etsy Payments 

To receive a deposit after making a sale, you need to have the following ;

After a seller has confirmed the above, you may be missing some funds in your account for a couple of reasons. 

You Owe Etsy More Than They Owe You

You won't have any funds available for a deposit if the funds you made from the sale are less than what you owe in fees. Some of these fees include listing, transaction, and payment processing.

The funds are not scheduled to be deposited yet: 

It's important to look at the schedule you choose to receive your funds. This can be weekly, monthly, or bi-weekly. If the date is too far, you can choose to either wait it out or ‘’request it now to have your funds released the next day.

If you don't have a valid credit card and bank account on file: These are the prerequisites for sellers to be able to receive their funds. Failure to comply signals to Etsy that you’re not ready to be a seller. 

If your funds are in payment reserve: 

Payment account reserves are widespread in the online marketplace community. When a payment reserve is put on your account, a percentage of your sales is put aside for up to 45 days on a rolling basis. 

This practice keeps your payment accounts from going into the negative, which will be helpful if you happen to get a chargeback from a customer's credit card company. If a payment reserve is put on your account, Etsy will notify you by email. 

You're a New seller: 

If a seller is new to Etsy or has not yet established a selling history, Etsy may place a reserve on their account as a precautionary measure to protect buyers from potential fraud or disputes.

You’re a High-risk seller:

 If Etsy determines that a seller has a high risk of disputes, chargebacks, or other financial issues, they may reserve their account to ensure that funds are available to cover any potential losses.

Your Balance Is Below The Minimum Deposit Threshold

Due to the extra fees and specific requirements of the banking laws of some countries, you may need to reach a minimum amount in order to be eligible for a “daily deposit”. 

Check the chart below for a specific look at your currency, to determine if that could be the issue you're facing

CurrencyDeposit Minimum

When Does Etsy Pay Its Sellers From Sales

As an Etsy seller, you expect the funds to be deposited straight into your account as soon as you make a sale. However, the factors we have discussed above may influence when Etsy will pay you, along with some factors that are within your control. 

New Sellers 

For new sellers, Etsy defines a new seller as someone who's been selling for less than 90 days, your money will typically be available within 3 days after a sale.

This “trial period” ends after the first 90 days on the platform and at that point, you are considered an established seller.

Established Sellers

If You have been on the platform for longer than 90 days, your funds are typically available within one business day.

It's important to keep in mind, that your funds will be deposited based on your deposit schedule, although you can request any available money by using the “request it now” feature inside of your seller dashboard.

Additionally, there may be a few reasons why your funds are not immediately available, but we will cover that more in-depth later.

Frequently Asked Questions?

Why hasn't my money been deposited yet?

Several factors, such as public holidays and weekends, can affect payment processing times. If a payment date falls on a public holiday or weekend, the payment may be delayed and appear in the seller's bank account on the next business day.

If a seller experiences payment issues, such as a missing or delayed payment, they can contact Etsy's support team for assistance

When will I receive my deposit?

When a customer buys a product from your shop, and you receive a sale through Etsy Payments, the money is first added to your payments account. 

Afterward, according to your schedule, the money will be sent to your bank account. 

Do I need a credit card on File for Etsy Payments?

For most sellers around the globe, Etsy requires that you have a credit/debit card on file. However, if sellers in the Netherlands, Germany, or Austria have a valid bank account, they do not need to have a credit card on file for Etsy Payments.

Why was there a 5-day hold after I updated my account details?

When sellers update their bank details, there's usually a 5-day hold on their payments account. There is no way to circumvent this hold. However, once the 5-day period is over, Etsy sends the funds to your bank account according to your schedule.

If you're in the United States, verify your bank account details to avoid payment holds. You can do so through the payment settings, and your next payment should be available.

When can I expect my deposits?

The time it takes for a deposit to reflect in your account may vary depending on your bank. Typically, it takes 3-5 business days after the deposit has been sent out.

What are deposit minimums?

There are certain countries that require a minimum amount of funds for deposits. You won't receive a deposit if the available amount is less than the minimum required for your bank account currency.

It's important that you check what the minimum amount is according to your country of residence. 

*Note – certain countries may also impose fee thresholds and deposit fees. Make sure that you're aware of these fees and are up to date.

For sellers who live in Australia, they need to be aware of the following. For Etsy Payments, sellers in Australia must provide their Australian bank with a residential address as required by Etsy. PO boxes are not accepted as valid residential addresses.

Alternative Payment Options on Etsy

Although Etsy Payments is the primary payment system, some sellers can also accept other payment options like PayPal.

Sellers who accept alternative payment options may face additional fees. It's important to understand the associated costs before deciding on a payment method.

Why are my Payments Available on Monday?

As a new seller on the site, Etsy automatically sends payments to your bank account every Monday on a weekly basis.

Sellers can change their deposit schedule on the website through the following steps ;

For sellers using the Etsy app, the following steps will suffice, 

Wrapping Up 

Understanding when Etsy pays sellers for their sales is essential for financial management and ensuring smooth transactions on the platform. With Etsy Payments, sellers can receive payments on a regular schedule and track their payment activities through the Shop Payment Account. Etsy also provides alternative payment options, although sellers need to understand the associated fees and choose the best method that works for them.

Scott Voelker

Over the years I’ve helped thousands of people TAKE ACTION to UNLOCK their true potential on building their ultimate freedom business, by developing the skills to make them resilient, confident and FUTURE PROOF. I’ve clocked my 10,000 hours over the years working in the trenches myself and helping others build and grow their brands. I know the power in TAKING ACTION better than anyone and I’ve seen people lives changed as a result of it...including my OWN!