INTERNATIONAL TRADE
ESCROW SERVICES
ESCROW SERVICES Applications | Trade | Acquisition | Project
Escrow
"Keep an amount (or document) in custody until a predefined condition is met"

The Escrow (account) is a blocked bank account held with a neutral and financially trusted third party usually by a (Bank). This trusted third party, the Escrow Agent (Bank), will distribute the money in the blocked bank account only on the basis of an agreement between the contract parties. It means that the buyer and the seller provide information to the escrow agent (Bank). The escrow agent (Bank) makes the escrow agreement and opens a dedicated escrow account with the bank. The buyer can use this escrow account to deposit money and/or documents while waiting for the seller to deliver. The escrow agent (Bank) releases the money and/or documents from the escrow account after the release conditions, described in the escrow agreement, have been met.

Process
1. Buyer, seller and Escrow Agent (Bank) sign the escrow agreement.
2. Buyer deposits money and/or documents in escrow.
3. Escrow Agent (Bank) manages the escrow account.
4. Escrow Agent (Bank) confirms to the seller that the escrow amount and/or documents have been received in the escrow account.
5. Seller performs the required services.
6. Buyer accepts delivery and proof of acceptance is sent to Escrow Agent (Bank).
7. Escrow Agent (Bank) releases the money and/or documents in escrow.

Benefits


It is easy to set-up an escrow agreement with tailor-made release conditions.


The seller is sure that the buyer has made the money and/or documents available to the trusted third party



The buyer can be sure that the money and/or documents will only be released as agreed in the escrow agreement.