Fraud Prevention & Chargeback Defense
Traditional payment gateways expose merchants and sellers to retroactive chargeback fraud, payment clawbacks, and spoofed identities. Escrow.com eliminates counterparty risk with locked trust settlement.
Common Online Scams Neutralized by Escrow
Peer-to-peer marketplaces and direct wire transactions are ripe with fraud. Here is how our regulated process protects you.
Credit Card Chargebacks
The Scam: Buyer pays via credit card or PayPal, receives the luxury watch or domain, then files a fraudulent chargeback 90 days later.
The Defense: Escrow transactions settle via irrevocable bank rails with complete finality.
Fake Wire Confirmations
The Scam: Buyer emails a forged bank wire slip or PDF receipt, demanding immediate vehicle or asset release.
The Defense: Escrow never notifies a seller to ship until cash has cleared in our FDIC-insured trust account.
Non-Delivery & Counterfeits
The Scam: Seller collects wire payment and disappears, or sends an empty box or counterfeit merchandise.
The Defense: Buyer gets an agreed inspection period. If the goods are wrong, funds are returned.
How to Identify Legitimate Escrow Services
Fraudulent actors frequently create fake escrow websites with similar domain names. Always verify the following security indicators:
Real Escrow Indicators
- Official domain: escrow.com or authorized subdomains
- Valid SSL certificate with Extended Validation
- Published state escrow license numbers (e.g. CA DFPI #963-1867)
- Accepts standard domestic Fedwire, ACH, and SWIFT to audited trust banks
Fake Escrow Red Flags
- Demands payment via Western Union, MoneyGram, or gift cards
- Typosquatting domains (e.g. escrow-protect-secure.com)
- No verifiable state license numbers listed on state banking websites
- Unrealistic rush or pressure to complete settlement immediately
Report Suspicious Activity
If you have been approached by someone claiming to use Escrow.com on an unverified site, report it immediately to our security team.
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