An escrow is a financial arrangement whereby a third party is entrusted to hold funds pending execution of a contract.  It helps eliminate counter-party risk by securing and regulating payments until all terms and conditions of an agreement are met.

How It Works

Escrow Kenya guarantees security to both buyers and sellers, especially when trading online. The buyer enjoys peace of mind knowing that they cannot lose money in the transaction and the seller rests easy knowing that they will receive full payment for the sale.

1. Buyer and seller agree to terms: Either party can initiate a transaction and provide the terms and conditions as agreed prior. Examples are such as the selling price, who pays for shipping, mode of shipment, who pays the escrow fees, how soon the product/service will be delivered, etc.
2.  Buyer deposits funds: After all terms and conditions are set out and agreed upon, the buyer deposits funds with Escrow Kenya. The company verifies the payment and notifies the seller to ship the goods or provide the service.
3. Seller delivers the goods or services: The seller is authorized to deliver the goods or services to the buyer. Escrow Kenya verifies that the buyer received the goods or services in good condition.
4.  Buyer accepts the delivery: After inspecting the delivery, the buyer accepts it and authorizes funds to be released to the seller.
5.  Escrow Kenya pays the seller: Funds held in escrow are released to the seller, bringing the escrow transaction to an end.

Advantages of using an escrow service

An escrow arrangement comes handy in many situations, especially where:

• Large sums of money are involved;

• Parties are located in different geographical regions; and

• Lack of trust hinders a sale.

Unlike traditional escrow which was often tedious and involved banks and/or lawyers, Escrow Kenya makes it much easier and more convenient by providing the service online at a much lower cost and in a series of simple steps. Just a few clicks and absolutely no legal jargon and your transaction is done—safely and securely!

Increase your sales with Escrow Kenya

If you run a small-scale online store or make quick deals on Facebook and other digital marketplaces, you know only too well that a large number of potential sales are lost because a buyer is wary of making payment before receiving the products. Most potential online sales lost can be prevented, even recovered, when buyers have the option to deposits funds with a trusted third party while awaiting delivery. You can rest assured that partnering with Escrow Kenya will definitely boost your online sales.

Cut costs and enjoy convenience with Escrow Kenya

If you often have to:

• Travel every other time to meet clients;

• Involve expensive middlemen to sell on your behalf;

• Deliver products in person so that you can receive payment; or

• Forego sales from customers who are far away because you can’t agree on what comes first—the delivery or the payment,

you will greatly benefit not only from the security offered but also from the convenience and cost savings. You will also have a lot more time on your hands to find more customers and clients.

No hidden or extra fees

Escrow Kenya does not charge you hidden fees. All applicable fees are quoted upfront. 

Here's a breakdown of all fees:

Standard Escrow Fee

i) Fee for transactions in Kenya Shillings

General Merchandise & Services:- 3% of the purchase price, with a minimum fee of KES 200 and a maximum fee of KES 15,000.

Motor Vehicles:- 1.5% of the purchase price, with a minimum fee of KES 1,500 and a maximum fee of  KES 15,000.

ii) Fee for transactions in US Dollars

General Merchandise & Services:- 3% of the purchase price, with a minimum fee of $2.50 USD and a maximum fee of $155 USD.

Motor Vehicles:- 1.5% of the purchase price, with a minimum fee of $15.50 USD and a maximum fee of  $155 USD.

Discounted Escrow Fee:

Charged to the buyer where an order is voluntarily canceled by the seller. Calculated as 0.5% of the price, with a minimum fee of KES 200 for transactions in Kenya Shillings or $2.50 USD for transactions in US Dollars.

Dispute Administration Fee:

Charged to the buyer where an order goes through dispute resolution and the dispute is closed in the buyer's favor. It is calculated as the standard escrow fee, charged to the buyer in full, regardless of the initial fee-sharing agreements between the buyer and the seller.

Escrow Withdrawal Fee:

KES 25 for transactions in Kenya Shillings or $0.50 USD for transactions in US Dollars.