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Which Escrow service is better for high cost domain sales? Dan vs. Escrow.com compared

NameSilo

LoveCatchyDomains

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For higher priced domains, is Escrow.com a better choice over Dan?

The comparison with Commissions for the seller for a private sale:

Dan: Straight fee 5%
Escrow.com: up to $5K 3.25%
$5000.01 to 25K the above 3.25% + .26%
25K+ .89%

Domain Cost Dan Escrow
$1000 $50 32.50
$5000 $260 162.6
10000 $500 175.5
15000 $750 188
25000 $1250 214.5

There are higher fees in Escrow if using PayPal or credit card, which might make Dan a bit more competitive in some instances. But for standard bank wire transfers Escrow.com prices appear very impressive.

Granted, there have been numerous positive comments about Dan's fast transfer. That could be invaluable in some circumstances. And, in my experience, Dan's customer service iappears top notch. But, overall, pricewise, it seems that Escrow really shines for the high-value domains.

Any thoughts or experiences to share with these or other escrow services?
 
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LoveCatchyDomains

Established Member
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Hi

For high dollar sales, Escrow.com is my first choice to offer a buyer, when negotiation originates "outside" of a marketplace.

the credibility of the name, speaks confidence to "first time" buyers, as well as repeat sales.

imo....
Do you tend to use the regular service cited above, or the concierge (which appears to basically double the fees, but still appears to cost much less than Dan in those higher price ranges)?
 
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13,859
Do you tend to use the regular service cited above, or the concierge (which appears to basically double the fees, but still appears to cost much less than Dan in those higher price ranges)?
Hi

never had the need, to use the concierge service.
and typically, will ask buyer to pay the fee during/prior to the negotiation.

imo...
 
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karmaco

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10,558
I avoid Escrow at all costs after two bad experiences. They just sucked the joy out of sales in my case. I don’t care about pricing if I can’t trust a company to be fast, reliable and provide a bump free transaction. Every time.

I think certain high volume sellers get hands on treatment with them. Everyone else good luck to you.

My vote is for DAN and peace of mind.
 

LoveCatchyDomains

Established Member
Impact
461
I avoid Escrow at all costs after two bad experiences. They just sucked the joy out of sales in my case. I don’t care about pricing if I can’t trust a company to be fast, reliable and provide a bump free transaction. Every time.

I think certain high volume sellers get hands on treatment with them. Everyone else good luck to you.

My vote is for DAN and peace of mind.
Admittedly, that was one of my concerns -- the speed of the transaction. Maybe there are differences in how the higher-volume customers are treated.
Had some of the delays resulted in losing the deal? Did any transfers take more than a week to do? And did you ever try their escrow leasing to own feature?
Thanks for your insights.
 
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Admittedly, that was one of my concerns -- the speed of the transaction. Maybe there are differences in how the higher-volume customers are treated.
Had some of the delays resulted in losing the deal? Did any transfers take more than a week to do? And did you ever try their escrow leasing to own feature?
Thanks for your insights.

Hi

I'm not trying to boost any particular service or put one down

but the questions you ask surrounding any "faults or delays" in the transaction, mostly depend on you and the buyer.

speed, is dictated by receipt of, and acknowledgement for each stage in the process.
how fast the buyer pays after they get notice to send payment
how fast the payment is "secured' by that platform
how fast the platform notifies the seller they have received payment....
and that they (seller) can now send auth code or push the domain to buyer.
then... buyer has to acknowledge receipt of domain with platform
then platform has to create credit note and/or issue payment.

there can be a delay, at any stage, on any platform.

imo...
 
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124
Hi

That cost is for their "Transfer Service",
it's used for negotiations that develop outside of sedo's marketplace.

imo...
Correct but it´s the same speak in this thread no?
Escrow Service but Sedo said "Transfer Service". Same service has Escrow.com

In this case I contact with sedo with all the data (Buyer and Seller) and they do all step by step.
It´s slow but for me working fine in two sales.
 
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13,859
Correct but it´s the same speak in this thread no?
Escrow Service but Sedo said "Transfer Service". Same service has Escrow.com
Hi

yes, you are correct, as it is another option the OP can use.
the OP didn't mention sedo as one of his choices, but good you did.

imo...
 

Domainication

Top Contributor
Impact
761
Will definetly give a HUGE vote for DANs escrow services.

Yes it is a bit more expensive but they are like 10x faster than Escrow.com
and we all know 'time is money' especially when its about cashflow.

Found this at escrow.com's FAQ:
When a Buyer uses a credit card or PayPal for payment, there is a three business day hold before funds reach our trust account and can be sent to the Seller.

My last transfer with DAN escrow just took one day (EU & ASIA deal) and Escrow.com is now close to day three for a deal within EU. They received the money from buyer at the day i started the transfer but they can not go on with the deal?! Unbelievable.
 
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Yes it is a bit more expensive but they are like 10x faster than Escrow.com
and we all know 'time is money' especially when its about cashflow.
Hi

i agree that time is money
but in perspective of time -
how long was the domain held, before it sold?
3 months, 3 years 10 years or a few days?

so, when it comes time, to get paid -
do you go with the fastest, to get cash quicker
do you go with least expensive, to get more cash from sale
do you go with who've you've been going with?

imo..
 

Domainication

Top Contributor
Impact
761
Hi

i agree that time is money
but in perspective of time -
how long was the domain held, before it sold?
3 months, 3 years 10 years or a few days?

so, when it comes time, to get paid -
do you go with the fastest, to get cash quicker
do you go with least expensive, to get more cash from sale
do you go with who've you've been going with?

imo..
Reasonable questions for sure. I get the point.

I think for (really) high amounts (f.e. 6 digits) i'd maybe act in a different way.
Then would be the costs of the escrow/transaction services defenetly be a thing to think about.

But for all other transactions i prefer the smooth and easy way for both parties - buyer and seller.
Don't get me wrong. I do not want to blame Escrow.com. Their stats speaks for itself.
Its a big player (the biggest?) when in comes to escrow services at least for domains.

But for me i'd stick to DAN in the first way. Don't really care to pay a bit more.
The process was super easy and quick - i totally enjoyed it. The buyer did too.
Started a transaction via Escrow two days ago. Still no update although the buyer paid already.
We cancelled the transaction and switched over to DAN.

Cheers!
 
For high dollar sales, Escrow.com is my first choice to offer a buyer, when negotiation originates "outside" of a marketplace.

the credibility of the name, speaks confidence to "first time" buyers, as well as repeat sales.

This is the reality of the situation. No one outside of the domain community knows Sedo after all these years. Very few are ever going to know Dan.

Consumers know GoDaddy and Escrow.com. If they don't know it, someone in their family likely knows of these. Their sales dwarf any of these smaller sites. With that comes trust.

Even my Dad's friend knew Escrow.com because he used it 10 years ago when he bought a boat in Las Vegas with the service.

Here is a communication from one of my friends who has been developing websites for over 20 years. If this is how a web designer from LA sees this domain for sale, that is the same thing going through your customer's head at the most critical time in the purchasing decision process. This guy has no problem risking it all and doing 160+mph in his Porsche. But he questions this. Once your customer sees they are going to send $10k, $20k, or their life savings to Amsterdam, how well do you think that goes in their same thought process? For me, as a domain investor, it was difficult to trust with my $7,500 purchase.

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No one outside of the domain community knows Sedo after all these years
Hi
i can pretty much agree with your points on Escrow and GD, however:

based on the volume of sales Sedo has produced since i joined in 2004, and the thousands of businesses that now operate on domains that were purchased there....
then i'd say Sedo is known outside of domain community.

not to mention those who still arrive there via type-in traffic for domains they search.

imo...
 
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