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Escrow is service which provides the public with a means of protection in the handling of funds and documents. Escrow enables communications between Buyer and Seller through a neutral party, thereby minimizing risks.
In escrow, all parties involved give their instructions (in writing) to this neutral intermediary, the “Escrow Holder”, whose duty is to assure that no funds or property changes hands until all terms have been carried out to completion. If one of the entities as shown in the diagram, has not, will not, or cannot provide the documents/reports/funds required, the Escrow Holder is unable to consummate the transaction. |
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