I don't have a before and after screenshot for this, because I assumed (shame on me) that it wouldn't be an issue. However, after helping another user with a bidding issue, they outbid me afterwards. Instead of having my money returned to me, it seems to be tied up in the auction. I bid with over 3000sc and when I placed the bid for 1000sc, I was down to 2000sc (these are general but somewhat accurate numbers*). 

*I don't remember the exact numbers, but I had approximately 3500sc before the bid was placed, then placed a bid, and now have 1000sc being withheld from me.

If this isn't really a bug, then I'd like to suggest that when a user is outbid, the previous bidder's money is returned automatically.

I've had the same issue. Currently the money I placed on a bid is being 'held hostage' despite the bidding have gone over what I can afford. 

I've had this happen twice now.

http://beastkeeper.com/lot/1/11524 

This auction, I didn't get the money back

 though I got outbid.  I would have bid more, but I can't, because I also lost out on this auction:

http://beastkeeper.com/lot/3/11509/

And didn't get my money back from that one either.

I don't think I spent all that money, I did buy two pets, but I don't think for over 12,000.

Westly, when those auctions end you'll get your money back. 

How am I supposed to bid them up?  In order to bid 8,000 after bidding 7,000 do I have to have 15,000?  O.o

That's kind of a big issue.

No Westly, when you re-bid on an auction it takes the difference between your new bid and your old bid.

So if you previously bid 7k, and then you bid 8k later, 8k - 7k = 1k. So it'd take 1k from you to re-bid.

So, if I need the money from the Ruby bid, to bid, do I have that money to bid as well?  And it's just invisible?  O.o

No, any money already placed in a bid is held until the auction is over.

So say there are 2 auction, 1 for 7k and the other for 8k. If you want to bid on both of them you will obviously need 15k.

If you bid on the first auction for 7k you wont get that 7k back until the auction ends (and obviously only if you don't win the auction). After the auction ends if you lose, you get the 7k back and then you can use it to bid on the 8k auction.

Yikes.  That makes it really, really risky to bid on more than one thing at a time.  That could also mean that your money could be tied up for up to a month.  O.O

Scary. 

That's the main reason I do flash sales where I only set the time for a couple of hours. I think the longest sale I've done is two days and that was for one of the gold coin items I found

It's just kind of a huge bummer when there's only one, like that pale striped unicorn who wasn't terrible.  It got bought out because I didn't have the cash from the other auction.  Still bummed about that, having had all of the money, but it was unknowingly tied up.  ::grump::

Well it did it to me once but i just earn the money back.

(It happend to me like 11 times)

It's not a bug. This thread is hanging there to let the users know about this thing until the instant moneyback on outbid will be implemented.