In this piece, we’ll be looking at how to use escrow payment service offered by a trusted and licensed escrow company in Nigeria to protect the payments you make online for goods and services.
Have you ever been in a situation where you wish to buy something online but you are scared to lose your money to the seller due to the numerous activities of scammers and fraudsters online?
Using an escrow payment to pay for anything you purchase online is the best way to protect yourself from falling victim of scammers.
The idea is that, instead of making payment directly to the seller’s bank account, you send the payment to a trusted independent company, like EscrowLock.com, where the payment will be held until the seller delivers the product or service. Genuine sellers get assured of your seriousness to patronize them when they see that you have actually parted ways with the payment, so they do not have to worry that you, the buyer, might disappoint or something else.
If the seller does not deliver the agreed product or service, EscrowLock returns your money to your bank account.
Let us look into some escrow-related frequently-asked-questions as it pertains to Nigeria:
How does Escrow service work?
Escrow service is a service offered by trusted and licensed companies like EscrowLock.com, in which EscrowLock receives money from the buyer in a transaction and only releases same to the seller when the seller delivers the right goods/services to the buyer. This helps to protect the buyer from scam or any fraudulent practice from the seller.
Is Escrow available in Nigeria?
Yes, Escrow is currently available in Nigeria and is being offered by EscrowLock, a leading escrow service provider which has operations in Nigeria.
Do Banks provide Escrow services in Nigeria?
No. Commercial banks in Nigeria are not known to provide escrow services for day-to-day transactions in the country. If you are looking to use escrow service in Nigeria, your best bet is to use EscrowLock, the only licensed escrow service provider in Nigeria.
How does an escrow agreement work?
An escrow agreement works in such a way that both parties in a transaction draw up an agreement about a product or service, then the buyer makes payment to a trusted independent escrow company (like escrowlock.com) instead of paying directly to the seller.
So the seller is sure that his payment has left the buyer and is with EscrowLock, but the seller can only withdraw the payment if they deliver the item or service to the buyer in the condition agreed.
Escrow agreement helps to protect both buyers, sellers, freelancers, service providers and other parties in a transaction.
How do I know if an escrow company is legit and can be trusted?
Knowing if an escrow company is legit is a very important question, considering the rise in the number of fake escrow service companies and websites.
The best way to be safe from scam or fraud from fake escrow websites is to stick to one that is licensed. In Nigeria, EscrwoLock is currently reported to be the only licensed company with the necessary government regulatory approval to carry out escrow payment services.
Beware of scammers and fraudsters.
Is it better to have Escrow or not?
It is far better to have or use escrow in your transactions, but only if you are using a legitimate escrow service company, else you may be a victim of fake escrow websites . Escrow service provided by EscrowLock.com helps to protect all parties in a transaction.
If you intend to use escrow service, especially in Nigeria, you should stick to EscrowLock since it is currently the only licensed and regulated escrow service company in the country.