What is Escrow?
Spotting fraudulent traders and scams isn’t easy. Reclaiming monies paid upfront when things go wrong can be even harder without any guaranty of success.
Escrow is a legal holding account for assets or funds, that can only be released upon a desired outcome or through the mutual agreement of the parties involved. In other words, your money is held securely until the work you are having done is completed to your satisfaction.
Both parties gain security from using escrow though, as the deliverer has the assurance that the purchaser has the money to pay their fee. In most cases this allows the tradesperson / business, for example, to buy materials and set aside a period of time for a project before an installation starts.
If either parties' circumstances change, the money held securely in escrow can be divided fairly upon an agreed course of action.
Any monies held in escrow are fully insured and under the regulation of the Financial Conduct Authority that governs our banking systems.
Holding funds neutrally means that any parties with a vested interest in a project can build a better relationship without there being an imbalance of trust with regards to ‘who is holding the money’.
Traditionally escrow services were connected with major banking transactions, however the demand to protect smaller, but no less important amounts have led to the creation of Kiistone.
What is Mangopay?
Mangopay is an online end-to-end payment solution for Marketplaces.
Kiistone chose to partner with Mangopay (our international payment solutions provider) for the stability they offered in protecting our customers monies. Their escrow accounts have processed over 16 Billion Euros since their inception in 2013 from over 350 carefully selected clients – of which we are proud to be one. They are both EU Licensed and registered and FCA approved with affiliation to Barclays Bank.
Kiistone ring fences your monies in escrow and gives you control by offsetting project tasks against staged payments. The business delivering your service needs to help you understand how your project will progress and demonstrate that important milestones have been completed to get paid.
Using escrow means that Kiistone actively protects you during a project, as opposed to offering a pre-endorsement of a business that is then left unvetted. Neutral control of monies holds all parties accountable to the successful completion of the pre agreed project stages.
We believe that this structure of honest, transparent accountability provides the foundation for a project's success and a more relaxed working environment.