What is Escrow? How Does Escrow Work?

What exactly is Escrow?

An escrow is a financial arrangement exactly where a third party holds and regulates payment of the funds expected for two parties involved within a given transaction. It helps make transactions far more safe by maintaining the payment inside a safe escrow account that is only released when all the terms of an agreement are met as overseen by the escrow company. Get a lot more facts about payment



Escrows are very beneficial inside the case of a transaction where a big amount money is involved plus a certain number of obligations need to become fulfilled before a payment is released like inside the case of a website being built where the purchaser could want confirmation of your top quality of work being done ahead of generating a full payment, along with the seller does not need to extend a huge quantity of work without any assurance that he or she will receive payment. Even though conventional escrow service is quite hard and must be obtained through banks and lawyers, Escrow.com gives online escrow services at reasonably priced rates. Even though the payment is 'In Escrow' the transaction might be safely carried out with no risk of losing money or merchandise because of fraud. This eliminates all legal jargon and enables for secure transactions and confident buyers and sellers.



How does Escrow Work?

Escrow.com reduces the threat of fraud by acting as a trusted third-party that collects, holds and only disburses funds when each Buyers and Sellers are happy.



Buyer and Seller agree to terms - Either the Buyer or Seller begins a transaction. After registering at Escrow.com, all parties agree for the terms from the transaction.

Buyer pays Escrow.com - The Buyer submits a payment by approved payment method to our secure Escrow Account, Escrow.com verifies the payment, the Seller is notified that funds have been secured 'In Escrow'.



Seller ships merchandise to Purchaser - Upon payment verification, the Seller is authorised to send the merchandise and submit tracking information. Escrow.com verifies that the Purchaser receives the merchandise.



Purchaser accepts merchandise - The Purchaser has a set number of days to inspect the merchandise plus the option to accept or reject it. The Purchaser accepts the merchandise

Escrow.com pays the Seller - Escrow.com releases funds towards the Seller from the Escrow Account.



Transaction is complete - safely and securely!