Using escrow-style payments offers numerous benefits for both buyers and sellers, which we have previously outlined here and here.
Let’s break down the benefits with a practical example.
Example Scenario: You’re buying a sequential gearbox for 5,000 EUR
After discussing all the details with the seller, we strongly advise making a video call to verify that the gearbox is in the seller’s possession, confirm its condition, and clarify what’s included in the sale. Next, inform the seller that you’d like to proceed with the purchase using the secure Trustap escrow-style payment system, which is fully integrated into the Racemarket network.
The total amount you will pay:
– Without escrow-style payment: 5000 EUR
– With escrow-style payment: 5100 EUR
(both amounts exclude your bank transfer fees)
The total amount you risk to lose:
– Without escrow-style payment: Up to 5,000 EUR if something goes wrong, such as if the delivery isn’t made, or the item isn’t as described—or worse, if it’s not a gearbox at all.
– With escrow-style payment: 0 EUR. Your funds are protected until you confirm that the gearbox has been delivered and is in the agreed-upon condition.
The Benefits of Using Escrow-Style Payments:
For just a small up to 2% fee, escrow-style payments provide complete peace of mind. Your money is held securely and only released to the seller once you’ve confirmed that everything is as agreed. If the item is not as described or isn’t delivered at all, you can file a complaint and get your money back—something that’s impossible with a regular bank transfer, where tracking down the seller can be difficult or even impossible.
Moreover, sellers using escrow-style payments must pass strict Know Your Customer (KYC) checks and verifications. This means you can be confident about who you’re dealing with, significantly reducing the risk of fraud. Just mentioning that you’ll use escrow can deter dishonest sellers, adding an extra layer of protection against potential scams.
Why You Should Always Choose Escrow:
We highly recommend using escrow-style payments for all transactions, especially when you’re not physically present to oversee the sale—like when purchasing smaller parts and equipment such as gearboxes, wheels, engines, etc. It’s a small price to pay for the security and peace of mind it provides.
Learn More: You can find detailed instructions on how to use escrow as a buyer here or contact us, if you need any assistance. Don’t take unnecessary risks—protect your investment with escrow.
