Reserve Bank of India has said that ecommerce players are mandated to clear payments of merchants within two days and by completion of transaction it means the act of making the payment.
Currently, most ecommerce players need between a week and 15 days to settle sellers’ payments. Flipkart is reported to need a 7-12 day cycle for various categories of sellers, including gold and silver retailers.
They each have a different agreement with sellers on how sellers are intimated after completion of a transaction, which in most cases is referred to as date of dispatch.
They also charge a payment collection fee from sellers for online payments and cash on delivery orders. Amazon is said ti be compliant with the regulations. Flipkart considres that payments are done based on dispatch and payouts are done in seven to 15 days after dispatch depending on which tier the seller is categorised under.
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