Avoid Escrow Fraud
The easiest way to avoid escrow fraud is to use a licensed escrow company. Escrow companies are regulated by national or state authorities. They are required to have bonds that ensure customers can recoup money lost in the escrow process. Check with your state licensing bureau if you have any question about an escrow company. It is better to check and be assured that you are dealing with a licensed escrow company, than not check and lose some or all of your money to fraud.
An online escrow company’s license can be checked with the licensing authority as well. Usually this is supplemented by a database of companies provided by the licensing authority and is often accessible through the licensing agency’s official website.