Etsy sellers accuse marketplace of withholding money

Etsy website under magnifying glass

Online marketplace Etsy has been accused of withholding money from sellers through its “reserve system”.

Etsy has been criticised by its sellers for putting 75% of their takings on hold for 45 days as hundreds of small businesses received an email informing them the marketplace was actioning a reserve system.

Etsy said payment reserves were used to “keep the marketplace safe” and cover any potential refunds, according to the BBC.

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