PayPal does the same thing. Funds are withheld from the seller until 7 days after shipping. This is to make sure the shipment actually happens and the buyer receives it. I have gone through this several times myself. Patience is required!
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Never heard of PayPal holding onto any sellers funds tbh. Never happened to me.
But I know reverb.com does the same for new sellers as you have here. They hold the funds in escrow if you like for your first couple transactions until you have built up some sales history.
Not sure how long this has been applicable to audiogon as I never had this on my first few sales here.
Thanks for the replies! Just to clarify, this is not PayPal. This is a system called Stripe, which was suggested by Audiogon when I signed up.
I do not have a PayPal account.
Holding funds by a gigantic company like Paypal allows them to generate interest on those funds. It might not seem like much, but consider that many millions are held in "escrow" at all times, which is essentially free money for the company, and no money for you until the arbitrary time period is over.
It is the same system as reverb uses and they expect you to ship right away even though you will not actually see your money for probably10 days.
One reason I closed my ad for a guitar on reverb and went back to eBay with it. Fortunately eBay saw the light on musical instruments a while ago and matched reverbs 3.5% commission instead of their normal 10%.
Wish they would do same with hifi gear and match audiogon fees.