TikTok Shop Seller Negative Balance Policy

Overview

The TikTok Shop Seller Negative Balance Policy covers account balance requirements for sellers.
All sellers who offer products for sale through TikTok Shop must do so in accordance with the TikTok Shop Seller Negative Balance Policy.This policy is not exhaustive, nor intended for legal advice. Sellers must seek independent legal advice if they have questions about the laws and regulations concerning their products.
This policy is updated periodically. Sellers must check this page regularly to ensure compliance with our current policy.

Account Balance Requirements

TikTok Shop requires sellers to maintain an account balance above zero and avoid negative account balances for extended periods of time. Sellers can achieve an account balance above zero by maintaining a positive cash flow.
Negative balances occur when a TikTok Shop seller's account balance has a value below zero, meaning that the seller may have outstanding fees with TikTok Shop. Negative balances can occur when miscellaneous platform expenses (such as refunds or fees) exceed shop revenue.

Enforcement Actions

TikTok Shop reviews all sellers' business operations periodically. Sellers who violate the TikTok Shop Seller Negative Balance Policy will have enforcement actions taken against their account in accordance with our Seller Enforcement Policy and Seller Terms of Service. Sellers should note that repeated violations will result in stricter enforcement actions.
Negative Balance Amount
Enforcement Actions
  • Your account may accrue a minor negative balance
  • Sellers will receive a warning notification indicating the risk of a negative balance.
  • There is no option to appeal the above actions.
  • Your account may reflect a significant negative balance
  • Sellers will receive a notification along with enforcement actions including
    • Freeze withdrawal privileges
    • Sellers will not be allowed to create new self-promotional activities (such as but not limited to free shipping, discounts, and coupons).
    • Sellers will not be allowed to participate in new TikTok Shop campaigns.
  • If you have a deposit account, TikTok Shop may deduct funds from the account (see "Funds Deduction")
  • Restrictions can be reversed if the negative balance is remedied.
  • Your account exhibits severe Negative Balance or Fraudulent Behaviors
  • Sellers will receive all enforcement from the above section and we may close your TikTok Shop account
  • Upon shop closure, if there is a remaining amount due, TikTok Shop reserves the right to deduct funds from your accounts
Tip: Restrictions will remain in effect until the account balance is fully positive (>0), even for minor negative balances.

Withholding Balance

TikTok Shop will permanently disable a seller's withdraw function in the event of a negative balance or any violations from fraudulent, deceptive, abusive, or illegal activity as described in the Withholding Balance section of our Seller Enforcement Policy that could harm other Sellers, customers, TikTok Shop and its Affiliates or any other third party to the maximum extent permitted by applicable local law.A seller may file an appeal against this enforcement action in accordance with our Appeals section below. If the appeal is successful, TikTok Shop will release the amount due to the seller.

Funds Deduction

TikTok Shop reserves the right to deduct funds from the account, including but not limited to sale proceeds, to offset any funds owed to TikTok Shop to resolve the shop's negative balance. Therefore, you acknowledge and accept that we may, at our sole discretion, withhold any payments we are required to make to you for as long as we determine, to the maximum extent permitted by applicable local law.

Account Deactivation

Sellers that are suspected of fraudulent activity will be deactivated in accordance with our Seller Enforcement Policy.

Appeal

If a seller or creator does not agree with the application of an enforcement action, they may file an appeal through Seller Center. TikTok Shop will then investigate the case and if it is determined by TikTok Shop, in its sole discretion, that the enforcement may be overturned, TikTok Shop will proceed accordingly.
For more information on how to appeal, refer to our Seller Enforcement Policy.Important Note: Submitting an appeal does not guarantee a successful outcome. Appeals ensure that TikTok Shop will conduct a review of the relevant case in consideration of additional materials or explanations provided by the seller.