Marketplace sales vs escrow service?

[i463215]

Hello all,

At marketplace, buyer submits payment, to buy domain. Marketplace moves domain to the buyer and sale proceeds to the seller.

How is this different from escrow service?

 

[Biggie]

Hello all,

At marketplace, buyer submits payment, to buy domain. Marketplace moves domain to the buyer and sale proceeds to the seller.

How is this different from escrow service?

Hi

it depends on the marketplace

like at unireg, if you get a sale and the name is not regged there,
then the seller will have to push or transfer to buyer, but auth code is entered at uni for buyer to enter at their registrar of choice.

escrow, doesn't handle the domain transfer, unless you get the concerge service.

imo...

 

[Mr. Deleted]

If the name is at the same place that the sale happens then it is quicker deal than if you buy it at one place and have to move it to a new registrar. But some have made deals with other registrars to simplify that process, like with Godaddy's Afternic and NameSilo for example.

 

[i463215]

Hi

it depends on the marketplace

like at unireg, if you get a sale and the name is not regged there,
then the seller will have to push or transfer to buyer, but auth code is entered at uni for buyer to enter at their registrar of choice.

escrow, doesn't handle the domain transfer, unless you get the concerge service.

imo...

If the name is at the same place that the sale happens then it is quicker deal than if you buy it at one place and have to move it to a new registrar. But some have made deals with other registrars to simplify that process, like with Godaddy's Afternic and NameSilo for example.

Who handles collecting the money, from buyer and disbursing the money to the seller?

 

[Biggie]

Who handles collecting the money, from buyer and disbursing the money to the seller?

Hi

escrow does that,
but perhaps you should visit the site, and read the terms of service.
learn how it works, the fee's involved, etc.

https://www.escrow.com/what-is-escrow

this should be done with any marketplace or service you have questions about.

if you're still head scratching after that, feel free to inquire here.

imo...

 

[Castion]

Hello all,

At marketplace, buyer submits payment, to buy domain. Marketplace moves domain to the buyer and sale proceeds to the seller.

How is this different from escrow service?

Thats not the core service of a marketplace. Availability of buyers and leads, providing seller history and vetting; and marketing of your names are the core services. An Escrow service is just an added benefit of many marketplaces since they do not want to rely on third parties.

For example DNForum.com is a marketplace but we do not offer inhouse Escrow (atm.), what we do provide is a vetted seller and buyer database and a system where you can see the feedback of previous transactions and use that to influence your buying and selling activity..

 

[i463215]

Hi

escrow does that,
but perhaps you should visit the site, and read the terms of service.
learn how it works, the fee's involved, etc.

https://www.escrow.com/what-is-escrow

this should be done with any marketplace or service you have questions about.

if you're still head scratching after that, feel free to inquire here.

imo...

Thats not the core service of a marketplace. Availability of buyers and leads, providing seller history and vetting; and marketing of your names are the core services. An Escrow service is just an added benefit of many marketplaces since they do not want to rely on third parties.

For example DNForum.com is a marketplace but we do not offer inhouse Escrow (atm.), what we do provide is a vetted seller and buyer database and a system where you can see the feedback of previous transactions and use that to influence your buying and selling activity..

Correct me, if wrong but it’s my understanding that domain name escrow involves collecting the money, from the buyer and disbursing the money to the seller, after domain is transferred to buyer.

That said, my head scratching started, after asking a marketplace, if I sold domain there, did it include escrow service. To which, they said “not technically” and pointed me to their sales process, which says “buyer submits payment...Marketplace moves domain to the buyer and sale proceeds to the seller.”, which sounds a lot like escrow plus concierge service, as described earlier.

When I asked them, how is this different from escrow service? They repeatedly said, “it’s our sales process”.

 

[Castion]

Most marketplaces do not provide true Escrow since it would delay the transaction process significantly. True Escrow service would involve the venue taking control/ownership of the domain while awaiting and confirming payment. This is what Escrow.com offers with their concierge service.

The most probably reason that the marketplace (which one is it?) says it does not offer Escrow service is probably because its not available on its own as a standalone product. IE. you can not buy Escrow services from them for your transaction, but if you sell a name on their venue they will include the service in their sales process.

 

[Biggie]

another reason why they,( the other marketplaces) say they don't have escrow service, is because having a legitimate escrow service may require them to have a license to operate one.

but they can hold the payments and disburse them, according to each one's TOS.

imo...

 

[i463215]

Most marketplaces do not provide true Escrow since it would delay the transaction process significantly. True Escrow service would involve the venue taking control/ownership of the domain while awaiting and confirming payment. This is what Escrow.com offers with their concierge service.

The most probably reason that the marketplace (which one is it?) says it does not offer Escrow service is probably because its not available on its own as a standalone product. IE. you can not buy Escrow services from them for your transaction, but if you sell a name on their venue they will include the service in their sales process.

How does marketplace and/or true escrow take control/ownership of domain?

I don’t believe naming marketplace is appropriate, at this time, but I guess, that could be what they meant, after asking them, if I sold domain there, did it include escrow service. To which, they said “not technically”.

another reason why they,( the other marketplaces) say they don't have escrow service, is because having a legitimate escrow service may require them to have a license to operate one.

but they can hold the payments and disburse them, according to each one's TOS.

imo...

Fair point, I guess that could be the case but it still sure sounds like escrow with concierge service...Just saying.

 

[Castion]

How is it not appropriate to name the marketplace? Is this not information relevant to the public? Is this information somehow damaging to the marketplace in question?

Anyways, the escrow company takes control as you would.. They accept a push or conduct a transfer. Once the payment is received they accept control of the domain. Once the payment has been approved they release the domain to the buyer and payment to the seller.

 

[i463215]

How is it not appropriate to name the marketplace? Is this not information relevant to the public? Is this information somehow damaging to the marketplace in question?

Anyways, the escrow company takes control as you would.. They accept a push or conduct a transfer. Once the payment is received they accept control of the domain. Once the payment has been approved they release the domain to the buyer and payment to the seller.

Perhaps, I could have said not “necessary” rather than not “appropriate”, but no I don’t feel it’s either relevant to the public or somehow damaging to the marketplace in question, especially, if I’m just not understanding the difference between their sales process and actual escrow.

Gotcha, appreciate your feedback!

 

[Castion]

Well the tighter and more specific the question is the higher the chance of getting the right answer. If you had named the marketplace in your OP one of us most likely could have furnished you with the correct answer to why you got the reply you did.

Instead you got 5 people guessing. So as not to waste peoples time, I think it is nice to be as specific and to the point as possible. Especially if we are talking specifics about a process you dont have total grasp of yet.

 

[i463215]

Well the tighter and more specific the question is the higher the chance of getting the right answer. If you had named the marketplace in your OP one of us most likely could have furnished you with the correct answer to why you got the reply you did.

Instead you got 5 people guessing. So as not to waste peoples time, I think it is nice to be as specific and to the point as possible. Especially if we are talking specifics about a process you dont have total grasp of yet.

My apologies, if I wasted anyone’s time.