Supporting Clients with Escrow

Many freelance professionals use escrow services when conducting business with unknown clients. As mentioned before, an escrow service is a form of payment where an escrow company serves as a third party in the financial transaction. Its main role is to hold the payment sent by the client and release it only after the client is satisfied with the services offered by the freelance professional. The freelancer is protected from scams since the client cannot easily ask for a refund. Since the payment has already been stored in an escrow account, it will require approval from both parties before the refund is allowed.

Aside from freelance professionals, online stores and auction websites also use escrow accounts to ensure payment for the seller. However, in all cases, clients might not be keen on using escrow since they need to transfer the money somewhere before they receive what they are paying for. In this situation, as a freelancer, you need to explain to your client why he should use escrow to work with you. There are varied (and valid) reasons for hesitation - some are not aware of this type of payment; others have not tried the service while few have chosen not to use this type of service for security reasons.

• Client's Hesitation on Escrow

The hesitation to escrow funds can easily discourage freelance professionals. Like most businesses, freelance professionals have to make sure that they will be paid for their service. An unknown or first time client might run away with the service without providing financial compensation. Although not every unknown client will scam the freelance professional, by using escrow you can also ensure timely and correct payment. This safety measure is a form of assurance to the client that the freelance professional will provide quality work and will be motivated to do so since the payment is already there.

• Convincing Clients to Work with Escrow

Convincing hesitant clients to use escrow is a little bit challenging but possible. You need to take your time and explain to the client what escrow is all about. You can state your reasons for using it and you can tell your clients why it would benefit them to use it....To read full article, Sign-up for this email training