What is Elance Escrow?

For jobs that use Elance Escrow, the employer's funds are held securely in the job's Escrow account. The funds are released from the Escrow account upon completion of services by the provider and only upon approval by the employer.

There are absolutely no fees for using Elance Escrow. Also, if you choose to use Elance Escrow, the following additional services are made available for the project. These services are also provided without any fees:

   * Elance 1099 Service (for U.S. employers working with U.S. providers)
   * Elance Dispute Assistance (only available for Elance Escrow projects)

Elance Escrow: Why Use Escrow?

At no additional cost, Elance Escrow protects both the employer and the provider. Employer's funds are held securely until the services are provided satisfactorily. The provider can begin working on a project knowing that the employer has provided project funding into the Escrow account. 

Elance Escrow: How It Works

1. The employer posts a new job specifying the use of Elance Escrow for job payments.

2. The service provider submits a proposal on the job agreeing to use Elance Escrow.

3. The employer awards the job to the provider.

4. The employer and provider agree to the job Terms (including the Escrow milestones).

5. Before work begins on a job, the provider requests the employer to fund the Escrow account. (The Escrow account may be funded for the entire project or a milestone at a time.)

6. The employer deposits the requested funds into the Escrow account.

7. The provider begins work on the job. (On an Escrow job, the provider is not obligated to begin work on the job until the requested funds have been deposited into the Escrow account.)

8. When the services and/or deliverables have been completed for a milestone, the provider requests the employer release the funded Escrow milestone.

9. If the employer is satisfied that the services have been provided in accordance with the job Terms, the employer releases the milestone. The milestone release results in the transfer of funds from the Escrow account to the provider's Elance account.

For more detailed instructions, see the Employer Instructions or the Provider Instructions.