An escrow payment is a payment that is held safely by a trusted middle party until the buyer confirms they received what they ordered. Only then is the money released to the seller. It removes the biggest fear in online shopping — paying and getting nothing, or getting something fake — while also protecting honest sellers from false claims.

The trust problem in Pakistani online shopping

Ask anyone why they don't shop online and you hear the same stories: the product looked different, it was a copy, the seller stopped answering. Sellers have their own fears: fake orders, refused parcels and buyers who claim an item never arrived. Without trust on both sides, e-commerce cannot grow.

How escrow works, step by step

  1. The buyer pays — by card, JazzCash, Easypaisa, bank transfer or on delivery.
  2. The platform holds the money. The seller can see the payment is secured, but cannot withdraw it yet.
  3. The seller ships the order with a tracked courier.
  4. The buyer inspects the product during an inspection window — on OnePlace that is 7 days.
  5. The money is released to the seller when the buyer confirms, or automatically when the window ends without a complaint.
  6. If there is a problem, the buyer opens a dispute and the platform reviews evidence from both sides before deciding.

Why it is good for buyers

  • You never lose money to a seller who doesn't deliver.
  • You get time to check quality, size and authenticity.
  • There is a neutral party to resolve problems — not just the seller's word against yours.

Why it is good for sellers too

  • Buyers who trust the platform order more — and more often.
  • Prepaid orders through escrow reduce fake COD orders and refused parcels.
  • Disputes are decided on evidence such as tracking data and photos, which protects honest sellers.

What makes an escrow system work well

When I designed the payment flow for OnePlace, the hard part wasn't holding money — it was making every step visible. A good escrow system needs:

  • Clear order states that both sides can see: paid, shipped, delivered, in inspection, released, disputed.
  • Courier integration, so delivery is confirmed by tracking data rather than by someone's word.
  • Automatic release after the inspection window, so sellers are paid on time.
  • A simple dispute form with photo upload and a fair, documented review process.
  • Separate dashboards: buyers see their protection, sellers see pending and released balances, admins see disputes.

💡 Tip: Escrow is not only for marketplaces. Freelance platforms, property deals and B2B orders use the same idea: pay into a protected account, release on delivery.

Frequently asked questions

Is escrow the same as cash on delivery?

No. With COD you pay the courier at the door, usually before you can fully test the product. With escrow your money is protected during an inspection period after delivery.

How long does the seller wait for payment?

Until the buyer confirms or the inspection window ends — on OnePlace, up to 7 days after delivery, unless there is a dispute.

Can escrow be added to my own website?

Yes. It requires careful design of order states, payment gateway integration and dispute handling. Contact me if you need it built.