The following is our honest thredUP review. Debt Free Dawn has not been compensated for our review.

Updated: October 11, 2016


  • Simplest way to turn clothes into cash
  • $6.99 shipping for bulk Clean Outs is attractive
  • Can make 80% of sale price on $300+ items


  • Extremely high fees for low- and mid-priced items
  • Mobile app has no functionality for sellers
  • Minimum 14-day wait for payout from thredUP receipt of item

thredUP Review: Summary

As an online consignment shop, thredUP differs from the other sites reviewed on Debt Free Dawn. You send them your clothes and they pay your for them…immediately (for items less than $60). Because of this, thredUP is not a recommended site for resellers trying to flip items for profit. But if your goal is to clear out closet space and make a little cash while doing so, thredUP may be an attractive option.

Marketplace & Potential Buyers

Unlike a lot of sites profiled on Debt Free Dawn, thredUP is a consignment marketplace, not a peer-to-peer sales marketplace like eBay, Poshmark, etc. (Though they were a peer-to-peer marketplace until March, 2012.) thredUP advertises themselves as “an online consignment shop for kids’ and women’s clothing.” In fact, any research you do about thredUP constantly references kids clothing.

When you click on your account homepage, thredUP lists the items they’re currently looking for. As of this writing in July, 2016, this is what they’re looking for:


They do not advertise being a menswear marketplace.

thredUP’s app has over 500,000 downloads.


As a consignment shop instead of a peer-to-peer marketplace, thredUP seeks to simplify the seller’s experience. If you want to send items into thredUp, scroll to the bottom of the web page and click “Order a Bag.” (Or click here.) thredUP will then send you a “Clean Out Kit” that you use to package all of the items you want to get rid of. Their only requirements are that clothing meet 3 criteria:

  1. Defect-free
  2. On-trend
  3. Top brand name

Besides ordering a Clean Out Kit, thredUp’s website allows sellers to check their account status, how much is available for withdrawal, and some stats on the value of their average kit.

A big plus for thredUP’s website, in my opinion, is how easy it is to find information about how their service works. Their various FAQ sections are very comprehensive.

Mobile App

thredUP’s mobile app is a marketplace for potential buyers. While the app’s “Account Info” section does have a button for “Clean Out History,” it redirects to the website.

Shipping Items

For each Clean Out Kit thredUP sends you, there’s no shipping paid upfront by the seller. Instead, thredUP takes $6.99 out of the final payout to offset shipping costs.

Commission & Fees

thredUP advertises you can receive up to 80% of the selling price. (And don’t forget to take out that $6.99 per Clean Out Kit ordered.) However, that’s only for items of $300 or more. For lower-priced items, the revenue earned by the seller is much more modest.

thredUP review - Debt Free Dawn

High commissions and fees are to be expected from a service like thredUP, though. The seller does almost no work. For that reason, thredUP is not a very good marketplace for resellers looking to buy items for the purpose of reselling at a profit.

Buyer Disputes & Returns

Because thredUP is not a peer-to-peer marketplace, this isn’t a concern for sellers.

Getting Paid

thredUP allows sellers to cash out their earnings in 3 ways:

  1. thredUP VISA gift card
  2. PayPal
  3. Through a partner offer

The major benefit of the thredUP gift card is that there’s no fees applied to your cashout whereas PayPal charges 2.9% + $0.30.

As a consignment shop, thredUP actually purchases items from sellers and immediately compensates the seller for all items under $60. For items over $60, the seller receives the funds after the item sells.

Funds in your account are available to be withdrawn 14 days after you receive them, which thredUP says they do in order to have enough working capital to maintain the business. After all, they are paying to acquire inventory, for shipping, etc. After 14 days you can withdraw to your accounts, and any time within those 14 days you’re still free to use your money to buy more clothing from thredUP.

Click here to read thredUP’s cashout FAQ.