Fake Escrow Websites: How to Spot Them When You Sell a Boat Online
Escrow is a smart idea. A neutral third party holds the buyer's money until the boat changes hands, so neither side has to simply trust the other. That is exactly why scammers like to copy it. A fake escrow website looks professional, sounds reassuring and exists only to collect money that never comes back.
If you sell a boat online, especially to someone far away, you may be asked to use an escrow service. Here is how to tell a genuine one from a copy.
How the fake escrow scam works
A buyer contacts you, agrees to your price and says they want to use an escrow company for safety. They often name the company themselves and send you a link. The website looks polished, with a logo, reassuring wording and maybe a live chat window or a list of fees.
You are told that the buyer has deposited the funds, and that the money will be released once you ship the boat or pay a fee, an insurance charge or a verification cost. Some versions ask the seller to send money first to unlock the payment. In the end there is no real deposit, because the escrow company is not real, and anything you pay is gone.
Red flags on the website itself
Take a careful look at the site before you do anything else. A newly created website with very little history is a concern. So are spelling and grammar mistakes, vague company details, no real street address and a phone number that does not connect to a person.
Be careful with sites that have no way to verify a license or registration. Also check the address bar closely. Scammers often use a web address that is almost the same as a real company's name, with a small spelling change or a different ending.
Red flags in how the buyer behaves
The biggest warning is a buyer who insists on one particular escrow company and will not consider any other. A genuine buyer should be happy to agree on a well-known service that both sides choose together.
Be wary if you are asked to pay any fee up front before receiving funds, or if you are told the escrow company needs your bank login or personal identification beyond what a normal transaction requires. Pressure to hurry, or a story that the deal will fall through unless you act today, is another sign.
How to check an escrow company
Do your own research instead of using the link you were sent. Type the company name into a search engine yourself, and look at reviews from independent sources. Check whether the company is licensed in the state where it says it operates, and look for a physical address you can confirm.
Call the company using a phone number you found on your own, not one from the buyer's message. Ask how their fees work and who pays them. A real escrow company can answer clearly and will not rush you.
If you and the buyer want to use escrow, propose a company you have checked yourself. A genuine buyer will usually agree. If the buyer refuses every option except their own, treat that as a serious warning.
Other safe ways to complete the sale
For many sales, the safest path is the simplest. Meet at the boat, let the buyer bring a marine surveyor, take a sea trial together and complete the payment in a way that clears fully before the paperwork and keys change hands. Talk by phone, not only by email.
If a buyer is far away and cannot visit, ask whether a surveyor or a trusted representative can inspect the boat for them. A buyer who is serious about the boat will have plans for inspecting it.
If you suspect a fake escrow site
Stop communicating and do not send money or personal information. If you have already paid something, contact your bank right away. You can report the scam to the Federal Trade Commission at reportfraud.ftc.gov or to the FBI's Internet Crime Complaint Center at ic3.gov.
Sell-a-Boat.Com has been selling boats online since 1997, with no contracts, no commissions and no hassle. Our Fraud Tips page at sellaboat.com/fraud-tips covers escrow scams and other common tricks. Questions about an offer you received? Call us toll free at 888-306-2628 (888-306-BOAT).
Ready to sell your boat with confidence? List it today at https://www.sellaboat.com/.
