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Domain Names 101
By: Joe Eitel
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    2009-05-27

    Table of Contents:
  • Domain Names 101
  • Finding a Premium Name
  • Purchasing a Premium Domain Name
  • The Benefits of Using an Escrow Service

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    Domain Names 101 - Purchasing a Premium Domain Name


    (Page 3 of 4 )

     

    Internet fraud costs victims millions of dollars each year. Any time someone pays for something in advance that they've purchased online, they're taking a chance. People can forge their identities; they can misrepresent what they're selling; and even with the best of intentions, some people are just plain irresponsible. Though Sitepoint is a trusted and reliable source for finding a premium domain name, when it comes to actually paying out what was bid, buyers will want to protect themselves by utilizing the help of a neutral, certified third party that will handle the transaction.

    This is why it's important to turn to a trusted third party like Escrow.com for transactions involving a high risk of fraud, such as premium domain name transfers. Relying on Escrow.com is like having an insurance policy that protects you against fraud, deception and irresponsibility.   

    Escrow.com is the most trusted online escrow service. It successfully guides both buyers and sellers safely through the online escrow process. Aside from being a licensed and audited third  party, Escrow.com will safely hold the buyer's payment in a trust account until the entire transaction is complete. This ensures buyers that the premium domain name they purchased will be registered in their name, and it also assures sellers that they will be paid the amount that was agreed upon.

    Since the buyer pays Escrow.com and does not pay the seller directly, Escrow.com can withhold payment until it's satisfied the domain name has been transferred by the seller. One of the ways Escrow.com does this is by checking the WHOIS database of the appropriate registrar in order to make sure it properly reflects the new buyer's name as the domain name registrant. Once this has been verified, Escrow.com releases payment to the seller.   

    Surely there are many concerned about the additional cost of hiring a neutral third party such as Escrow.com. As if paying a large sum of money to attain a premium domain name isn't hard enough on someone's pocketbook, they're now being asked to pay a third party to complete the transaction!

    Thankfully, Escrow.com only requires that users of the escrow service register at the site and pay a nominal fee for the service. Escrow.com's fee calculator allows buyers to calculate the cost of the fee as well as decide who will pay the fee -- either buyer or seller -- or if the fee will be split between them. The fee is determined by purchase price and level of service, with some escrow service fees being as low as 0.89 percent of the purchase price. Depending on whether the buyer has agreed to pay all or some of escrow.com's fee, it is automatically added to the purchase price of their premium domain name.   

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