FAQs
Whether you have never used an escrow service before or you a frequent user looking for some additional information, we have set out below answers to some of the questions which we are frequently asked.
a) What is Escrow Services?
Escrow Services is the phrase used to refer to funds or property being held by a third party pending satisfaction of the escrow conditions, or of the agreed criteria having been met.
As a provider of Escrow Services, we act as a third party in holding funds or property until it can be released on terms agreed by all parties.
Escrow Services give certainty to the parties to the transaction in that:
- the buyer or fundraiser knows that the property or funds exist and will be made available to it when the transaction completes; and
- the seller or investor knows that the property or funds will not be released to the buyer or fundraiser until the transaction completes
b) What is it used for?
Escrow Services can be used in relation to virtually any matter involving the transfer of money or property.
Examples include:
- Corporate financing and the raising of capital
- Corporate transactions including mergers, acquisitions and sales
- Sales of high value property at a distance (eg cars, antiques and wine)
- Charity and fundraising events
- The holding of settlement funds following disputes
- Loans where release of the loan money is conditional on a future event or is to be paid in instalments
- Real estate and other property related transactions
Please see our “Projects” page by clicking here for more information on potential uses of our escrow services.
c) What is an escrow agreement?
An escrow agreement is one entered into by the parties who have an interest in the money being paid into our escrow account or the property being held by us.
It is a document which we will produce. It will include important clauses such as:
- who is advancing funds or property;
- who will ultimately receive funds or property;
- the conditions attached to when the monies or property are to be released to the recipient; and
- the basis upon which the monies paid in to the escrow account or the property held by us in escrow can be returned to the sender
d) Is it safe?
Use of our escrow service is safe and reliable. All funds are held in a segregated account with a reputable bank. We are independent and so will not favour one party over the other when it comes to the release of funds or property. We understand that in today’s climate, banking fraud is an ever present fear and we do all we can to ensure that the funds in our escrow account are safe and secure.
e) Can you advise me on how best to invest my money?
We are not authorised to give financial advice on how to invest money.
f) How much will it cost?
We are not authorized to give financial advice on how to invest money.
g) How can I access the money or property held in the escrow account?
For each project we will produce for the parties a bespoke escrow agreement which will set out the terms on which the money or property being held in escrow can be accessed. Both parties will review and approve the Escrow agreement to ensure that the money or property is only released in accordance with the agreed terms.
h) Is there a minimum or maximum amount which can be paid in?
We are set up to accept a wide range of deposit values – please contact us to discuss your requirements.
i) Can funds be transferred abroad?
We are able to transfer funds abroad.
j) Will money held in the Beaumont Chamcrow account earn interest?
Any funds will earn interest at the applicable rate from time to time. Who is to receive the benefit of this interest will be governed by the terms of the escrow agreement.
k) Is Beaumont Chambscrow registered?
Yes. Beaumont Chambscrow is registered with the Companies House and, authorized to handle Customer Deposits and Payments – please see below for further details:
Beaumont Chambscrow Limited is incorporated in United Kingdom, having Corporate Identification Number as 13327294, and classified as Barristers at law (69101) in UK Standard Industrial Classification of Economic Activities.
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