Ecommerce in Africa remains a way off from its initial estimated projections. Its lack of widespread adoption can be attributed to a fundamental lack of trust between transacting parties. This problem of trust is however two-sided; To fully complete any transaction, the Seller must trust that the buyer will pay for his products if he ships outs his items without receiving any financial commitment from the Buyer, while on the other hand, the Buyer must trust that the Seller will deliver as agreed if he makes payment upfront.
Before digital escrow came into play, many merchants have either been burnt by indecisive customers while people looking to buy items online have lost money to online scams. How then has digital escrow been able to make the Seller and Buyer of digital goods and services be on the same page? We will take a look at some of the problems that have been solved with escrow:
Payment before delivery clause
Online merchants and freelancers have had the problem of not getting paid by their clients while merchants are scared of sending goods over and then struggle with getting their funds from the Buyers while freelancers are no exception too; many have exhausted their creative juices only to never hear from their clients again. In a bid to solve this problem, the payment before delivery option was introduced but merchants still had issues convincing the buyers.
However, escrow service has successfully been able to solve this problem by being the trusted third party that holds the funds securely while the other party delivers its end of the deal. With the intervention of Escrow systems, the seller is sure that he/she gets paid once the goods or services are delivered while the buyer is sure of getting the goods before the funds are released to the seller.
Falling victims to online fraud
In a bid to get the best values online, many people have rushed to finalize transactions that have turned out to be fraudulent. This was exacerbated because there was no way to verify the claims of partners in these transactions- this will not be the case anymore with the use of Digital Escrow services.
With an inbuilt identity verification system that requires important details of each party involved in the transaction, the Buyer can now trust that the seller will deliver the product/service if the payment is made first while the seller is also assured that the payment will be released if the product is delivered satisfactorily, according to the terms of the transaction.
With escrow systems, chances of getting defrauded online have been greatly reduced and there is a confidence that comes with having a third party secure the funds until both transacting parties agree. Another way that escrow has prevented fraud in online transactions is that in cases where a party bails out of the initial agreement, funds are returned to the rightful owner and disputes are resolved.
Seamless and Secure Payment options
Before digital escrow came to be adopted as a means of enabling smooth online transactions, people have had to deal with stories of funds ‘hanging’ in mid-air and payments being delayed long after the agreed-upon date. However, escrow has brought about easier ways of handling online payment and parties now have control over their funds and services provided.
With Vesicash Escrow, you can use the milestone payment option that allows you to pay the service provider for each accomplished deliverable- this not only gives the holder of funds total confidence but also motivates the other party to deliver as at when due to get the remuneration.
Digital Escrow is here to ensure that people no longer experience the problem of payment security in their online transactions by bringing accountability and transparency to the process. If you desire control over your payment and want to be free from fraud, then escrow is the solution that you need. If you have been looking for a trusted escrow provider, Vesicash(link to the website) is here to help you transact safely and with utmost confidence always. For more information, shoot us a mail at email@example.com or visit Vesicash.com/faq