- Impact
- 654
As many of you know , during an Escrow.com transaction , if a seller decides not to complete a transaction , he can just not transfer the domain after both parties have accepted the agreement ... of course they say that both parties have entered a binding contract , but basically there is no certain way to enforce the contract ...
result ... the buyer pays Escrow fees ... possible wire transfer fees (if for example outside the US) and possible wire tranfer fees to receive his money back (unless he gets a cheque) ... without acquiring the domain
I think that a good idea might be that Escrow make some changes to their procedure so as to ensure an even fairer environment for both seller AND buyer (if buyer is to pay escrow fees) and seller does not want to complete the transaction ... and both buyer AND seller (if seller is to pay escrow fees) and buyer doesn't transfer the funds after accepting the agreement ...
it should charge both parties' credit cards WHEN THE SECOND PARTY ACCEPTS THE AGREEMENT with ...
the whole escrow fees
... after the transfer of the domain and the transfer of the funds ... they can either refund the CC charge to the party that was NOT to pay the fees
alternatively , they could add the CC charged amount to the funds before transfer (buyer was to pay fees) ... or ... deduct the CC charged amount from the amount transferred for the payment (seller was to pay fees) ...
this way both parties will be more willing to complete the transaction because they would know that if they backed out ... they would lose the amount charged on their CC (this term should be included in the ToS) , while the party that was willing to continue will get a full refund ...
there is also a milder on-the-wallets way ... to charge half the amount to each party ...
afterwards , either ...
- refund the non-paying party and ... add half the fees to the payment amount (buyer was to pay fees) ... or deduct half the fees before transferring out the funds (seller was to pay fees)
- add half the fees to the payment amount and transfer it with the funds to the seller (buyer was to pay fees) ... or deduct half the fees from the payment amount and transfer the deducted amount to the seller (seller was to pay fees)
this way , both parties will be more willing to complete the transaction again ... or ... in case , one backs out , they will lose half the fees instead of the whole fees (as the system is now) ... but they would also know that the non-performing party also lost half the fees which can be kind of soothing ...
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