escrow arrangement
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jim
- Posts: 91
- Joined: Fri Aug 15, 2008 11:58 am
escrow arrangement
can someone tell me what is an escrow arrangement?
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Judith
- Posts: 118
- Joined: Thu Mar 12, 2009 8:59 am
Asset held in trust
An escrow is an aset (money or other property) held in trust by a neutral party. On fulfillment of certain agreement, the asset is released to one of the two parties.
E.g.
A: I bet $10 it will rain tomorrow.
B: I bet $10 it will not rain tomorrow.
A and B give $10 each to C.
If it rains, A will receive $20 from C.
If it does not, B will receive $20 from C.
Money held with C is known as "escrow".
E.g.
A: I bet $10 it will rain tomorrow.
B: I bet $10 it will not rain tomorrow.
A and B give $10 each to C.
If it rains, A will receive $20 from C.
If it does not, B will receive $20 from C.
Money held with C is known as "escrow".
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cristiand969
- Posts: 754
- Joined: Tue Aug 05, 2008 1:52 pm
- First Name: Cristian
- Last Name: D.
- Organization: Bank
- Filter: Two Plus Two =: 4
- Location: RO
Wow
Nice example, really appreciated 
Take care
Cristian
Take care
Cristian