Amazon Seller Central – The Biggest Scam of all times

Last updated on September 17th, 2022 at 02:09 pm

Want to sell on Amazon? Yes, it might be tempting, but let me explain after we have run sales on Amazon, why we are quitting.

1. Stolen inventory by Amazon at time of receiving. Many times, they claim of missing items and then they sell them via their Amazon Warehouse account.
2. Inbound shipments claiming boxes are oversized.
3. Amazon clients returning EMPTY boxes or used/fake items. Also, some clients are using the products and they return them broken, etc.
4. Blocking accounts because of their errors. Usually happens when you link Source and Target marketplaces to copy listings. If 1 product in the UK is allowed to be sold, then Amazon automatically creates a listing in Germany for a product you have no idea you had it. The German Marketplace is deactivated for no reason.
5. Amazon customers returning orders for no reason. Some orders are returned because of Amazon late or issues with delivery.
6. Blocking payouts for no reason. The favorite way to block and delay payouts for Amazon is to deactivate your account for suspicions logins and phishing. Please read below the details.
7. Amazon send good products back to sellers in multiple boxes.

Amazon FBA Warehouses Stealing Products on almost EVERY Package Sent

I will keep showing proof of all the stolen products that Amazon claims THEY DID not receive. Almost on all 3rd package, missing products and you don’t get reimbursement.

1. They just tell you investigation is competed and that’s it! You write, no matter how many times – 5-10, same answer. Robot-Human answers, and at end you can not do anything. Just loosing money on almost every shipment.
2. Then, Amazon sells those “missing” inventory under their own seller accounts: Amazon Wholesale, Amazon Deals, etc. These are the stolen products of all amazon sellers.
3. We have solid cases here and follow our blog and this page in particular where we will be posting several reason why at the end amazon sellers lose money. Don’t look at the revenue, dig in in all costs + stolen, missing, fraudulently returned items, replacements sent, returned totally good inventory back to you (at your own cost), etc, etc 🙂

FBA Inbound Shipment Problem – Shipping Box Oversized – Unplanned service fee

Another way of Amazon racketeering is they claim on every 5th-10th shipment it is oversized. We have shipped the same size package for months and suddenly they claim it is oversized and charge $75 fee!

You will get similar email from amazon seller central:

“We discovered a problem while we were receiving your inbound shipment (FBA1604XXXXX).”

Amazon Seller Central ways to Scam. Scamming honest small businesses and ripping off their barely reaching 30% margin after all the fees. If you take into consideration all of the above unfair Amazon practices to seller, you are better of NOT selling on Amazon.

Orders returned because of Amazon Mistakes – Delivered Late by Carrier

In numerous occasions, orders are being rejected and returned by customers. Most of the time, for no reason, but amazon sellers still get charged.

Blocking payouts for no reason.

We noticed that when amazon sellers do early request for payout, amazon usually blocks the account with the excuse that someone compromised the account login. This happens ONLY if you try to attach the bank account info back to the payout process. If you change the login and do NOT attach the bank account payout info, they don’t keep blocking the account. This does not make any sense, because if it is really compromised, then Amazon should keep blocking the account… The minute you add the payout Bank Info back to the deposit method, 1-2 hours later, again, account is blocked.

Some Amazon Sellers can’t get their money for weeks and Amazon keeps the funds hostage and does not release it.

Another example of Amazon NOT paying on time, and just keeps the funds “hostage” without giving any reasonable explanation. Even their customer support team contradicts in their statements.

See below, the funds are supposed to be released and paid out, after 3 months of lock up period, on May 28.

Then, they just changed to a new date, without even giving a reasonable explanation why. It is OK to hold, if there is a legit and proof-able reason. Other than that, it is considered bad business practice.

They send an email now, asking the account to be reactivated. How can you reactivate an account if it’s been deactivated and Amazon never respond or give exact guidance. Ok, yes, they ask for “remedy” action, but it is ALL BS. No matter how many times you write, they never give back even an answer.

Amazon send good products back to sellers in multiple boxes.

This created a lot of overhead and shipping expenses for each box. Amazon charges for each shipment of those boxes. Shipping cost are steep, as the boxes are most of the time BIG ones containing just small items such as battery.

Most of the products are in total sell-able conditions and there is no reason to return back to sellers. Amazon offers the option to DESTROY or DONATE those products. Our team totally doubts that those products are destroyed. Most likely they come up for sale on accounts such as “amazon” or “amazonwholesale”. Fair business relationship would be if they check the items more carefully and avoid sending back most of the products. In addition, products should be sent back in 1 BIG box, same way as sellers send their products to Amazon Seller Central.

In case you have bad or good experience with Amazon Seller Central, please share with our team so we can update the feedback up. We use solid information only with supporting facts – emails, images, etc.

Amazon allows buyers to return products, even after they use them

The amazon policy says “buyers can return product even if they use them or try them”. Many products, such as cloth papers, toilet paper, etc, just can not be returned after they are used 😲. Buyers abuse this policy, they use the products. Then return them. In some cases, they even return different item. Watch video 👉 https://www.youtube.com/watch?v=wxRmzSHppFw

Below, it is an example from one of our visitors, Amazon seller, they decided not to share their seller ID (to avoid suspension). Returned USED product. Amazon allowed FULL refund, after several attempts to dispute. They said that customer can break, tear and damage any product and return it. In this case, Seller takes the hit and covers the cost of item, shipping back and forth, disposal, etc. Amazon answer:

Amazon does not accept responsibility nor reimburse for returned items that are damaged by a customer. The product which you’re referring to and requesting reimbursement of, is damaged by the customer and as per policy there would be no reimbursement which will be processed.

Sent by Amazon sellers customer service agent.

In this example, there is no damage. There is FULL use of the polishing product, in this case. Those “clients” polished whatever they had and then just returned the item for full refund. Wasted the seller time to deal with this + their monetary loss.

Updated 17 Sept 2022