How Domain Escrow Works: Step-by-Step
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Step 1: Buyer & Seller Agree on Terms
Both parties confirm the price, payment method, and transfer process before opening an escrow transaction.
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Step 2: Escrow Account Is Created
The buyer or seller initiates the escrow order through a licensed escrow platform like Escrow.com.
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Step 3: Buyer Deposits Payment
The escrow service holds the funds securely, ensuring the seller cannot access them prematurely.
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Step 4: Escrow Verifies the Payment
Once payment clears, the escrow service notifies the seller to begin the domain transfer process.
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Step 5: Seller Transfers the Domain
The seller unlocks the domain and provides the authorization code or pushes it to the buyerβs registrar.
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Step 6: Buyer Confirms Receipt
The buyer checks WHOIS ownership, registrar control, and DNS settings to confirm successful transfer.
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Step 7: Escrow Releases the Funds
Once the buyer verifies transfer completion, the escrow service pays the seller securely.
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Step 8: Both Parties Receive Final Documentation
The escrow service provides transaction records for tax, legal, and future reference purposes.
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Why This Process Works
Escrow protects both sides from fraud by preventing funds or domains from moving until all steps are verified.