| It was only last April 19 that integrated their services | | | | that matter. |
| with For the time being, buyers and sellers who | | | | The first scenario described by Fruit Medley puts the |
| choose to avail of Escrow's service will get a 10% | | | | seller at a disadvantage. The buyer could easily put |
| discount, which could even be increased to 20% with | | | | his money in escrow, gain access to the domain, |
| more transactions. | | | | content, and any other stuff related to the website, |
| Here's how the escrow process basically works. As | | | | and then suddenly pull out of the transaction. The |
| soon as the winning bid is awarded on an auction, the | | | | buyer would ill ststand to lose the domain and some |
| parties are given three days to initiate escrow. | | | | money perhaps, but what of the other site content |
| Among other things, the buyer and seller will agree | | | | he was able to gain access to? |
| on the payment method to be used for the escrow | | | | On the other hand, according to Fruit Medley, the |
| fees. These fees are based on the final value agreed | | | | buyer could also be facing potential risks. What if |
| upon by the transacting parties and can be computed | | | | releases the funds to the seller but the transaction |
| using Escrow's calculator. To give you a better idea | | | | wasn't actually completed yet? Meaning, only the |
| of how high or low escrow fees may go, a | | | | domain transfer has been done but the content, |
| $1500-sale can rack up $43.88 in escrow charges, but | | | | scripts, or anything else that should come with the |
| that's already inclusive of the 10% discount from | | | | site was not yet turned over to the buyer. |
| Flippa. | | | | If these points mentioned by Fruit Medley have |
| For those who are still new to this business and have | | | | indeed some truth to them, we're facing some scary |
| had no previous experience with escrow services, | | | | situations here. How accurate really are these points? |
| the question is of course, "Is the best protection for | | | | We've only heard Fruit Medley's side, so it would be |
| buyers and sellers?" | | | | helpful if would comment on this matter. |
| Escrow essentially "protects" the transacting parties | | | | I've tried using and fortunately, the transactions went |
| by holding the buyer's funds in trust until the actual | | | | without hitches. Of course, it really pays to spend |
| transfer of domain is completed as determined by | | | | some time verifying the reliability of the person you |
| both buyer and seller. As an additional precaution | | | | are transacting with in the first place. Also, it's worth |
| Escrow also checks the WHOIS information to see if | | | | noting that when you use Escrow.com, you can opt |
| indeed the transfer has taken place. If confirmed, the | | | | to have the service protecting the domain name |
| money put on hold is then released to the seller and | | | | transfers only or the one that protects the website |
| the deal is officially sealed. Sounds pretty | | | | and the contents as well. With these options, the |
| straightforward, right? | | | | chances of the scenarios mentioned by Fruit Medley |
| But not so fast. An active commenter and poster on | | | | happening are less likely. |
| the Flippa blog, Fruit Medley, says that this isn't so. | | | | Flippa teaming up with is for the ultimate benefit of |
| Now I know for a fact that Fruit Medley has had | | | | domain and website buyers and sellers. While the |
| extensive experience in online businesses and is highly | | | | services they offer may still have loopholes for some |
| successful at that, so I can surmise that he knows | | | | malicious individuals to take advantage of, it is still |
| what he's talking about. According to him, isn't | | | | better than no protection at all. In the end, it all boils |
| exactly the ideal protection for parties transacting | | | | down to the due diligence you exercise before |
| within the United States, or even outside the US for | | | | transacting with just anybody. |