Super Mod

Do you know if using an escrow service (such as escrow.com) protects you when selling a website or a business? Is there any way that you cannot get paid?

stevo

The whole idea of using escrow is not to get scammed, so I'd say there is no way to get scammed unless you use a dodgy escrow service.

Some people try to trick others into using an escrow service that is actually one they have set up to steal your money.


Go with a well known service and you won't have a problem.

ambience

saw this MASSIVE story of a person selling a mac on ebay and the seller told his story.

The buyer said will use this for payment, was a escrow type site, looked legit and all, but turns out was a fake, sorta like those fake paypal sites.

long story short the seller made this scammer end up paying $500 + in taxes and all and got him back good.


So yeah most i know is some escrow sites cvan be fakes and get ripped that way.

Jimmeh

Yes, I've also heard of fake escrow sites. But the reputable ones make is so that you cannot get scammed. I think escrow.com is very reputable. Does anyone know of any other escrow websites?

Josie

Are there warning signs to look for in an escrow service that might tip you off that it's a scam?

It's very easy and can be quite cheap to build a site that appears to be something it's not, as we all know. So how do you know that a site is a legit escrow site and what kind of offers, statements, rules, terms, etc. would send up a red flag to those of you who have used them. I personally have not used an escrow system, unless it was part of a job website or something similar.

Smith

I think you should make sure to do a search on Google to find out what the good and bad escrow companies are.

As to the question proposed by Spencer: it is not possible to get scammed as long as you're using a trustworthy escrow service. The whole idea of an escrow service is that it protects you from being scammed. This is at least my understanding of one.

borsaid

Maybe I'm old fashioned or something, but I believe that if there is a true need to hold funds in escrow for a certain transfer, I think you should seek legal counsel. There's no better guarantee than walking into your attorney's office and handing him a bag full of cash to put into escrow and submit proof of deposit to your seller. . .then having him oversee applicable transfer documents.

But if we're only talking about a $1,000 transfer here, I don't see the need for an escrow service (unless you guys know something I don't). . . Just put that on the corporate amex account, geesh

stevo

Here is a good testimonial
http://www.epinions.com/content_2005377156

And here is an article about escrow scams from way back in 2002!
http://www.msnbc.msn.com/id/3078510/

And these things are still happening 4 years later... its a worry.