Transferring names beofre funds been received

[domainseller200]

Is this something you normally do with members on here ?

Do you only do this with members with good itrader ? or is there another factor which you consider first ?

Would like to see other people's opinions / views on this

 

[Darren]

Hello Frank,

I only transfer names first to people i've dealt with before and trust.

Thanks, Darren.

 

[Systreg]

Same here, if I know the member as a regular here and is trusted, I'm happy to send transfer before payment is received. Obviously with new members or those with no trader rating, I'll require payment first.

 

[TinkyWinky]

Yep - have to agree with Goldie - no trust no transfer and preferably BACS as with paypal money can be clawed back through disputes.

There have in the past (around 12 -1 8 months ago) been some undesirables that ripped off members here - myself included.

TW

 

[SF]

Done it once and lost the domain, that was to and end user aswell.

 

[rjs_essex]

I'm a very trusting person... I nearly always transfer first, but only to trusted members... Having said that, there is one member in particular who frequents this forum who never paid me for a domain I transfered to them (and still hasn't) so be careful.

Rich

 

[suzi]

Have you reminded them and asked them to pay?

If you have and still haven't received payment, maybe you should warn them that you intend to name and shame if they don't pay up within x days...

Seems like a reasonable thing to do for them (ie give them a chance), for you (hopefully you'll get your money) and for everyone else here (who'll be warned if they still don't pay).

 

[packeted]

A few of the mid xxx priced domains I've bought on here, the seller has kindly transferred before receiving payment. This surprised me to be honest, as in most cases I would always wait for fully cleared payment before sending.

This is also the recommended policy on eBay too - one of the most annoying things about PayPal back when I used to sell high value items with it was people thought it was safe, yet it offered little protection to the seller for potential charge backs etc. PayPal did in the small print recommend that you waited 10 days for the payment to fully clear before shipping but of course no buyer was happy about waiting that long...

 

[afx]

I've done transfers a fair times without taking payment first. I wouldn't anymore. IMO it's human nature to assume because you dont scam anybody, maybe they wont scam you, bad philosophy which I'm guilty of more than once.

It isn't just acorn members or other individuals you have to worry about, it's companies also. I had a DRS which I settled directly with the complainant (I can do without Nominets "mediation").

I agreed to sell the name to the complainant, email chain with complainants representative agreeing price etc, (Nominet legal team cc'd throughout.) Trying to demonstrate an act of good faith I done the transfer prior to accepting payment, bad idea with hindsight. Between the time I invoiced them and the company settling the invoice, the company went into administration. But only the company who was acting on behalf of the company who wanted the name went into adminsitration. The company who wanted the name got it having paid nothing for it.

Nominets reponse, let us check with our legal buffoons, I mean boffins ;-) and we'll get back to you. A week later, the answer is tough luck, we wont revert the transfer, go to the small claims court.

If I'd used escrow / insisted on payment up front there would have been no problem, so arguably the problem was of my own creation.

 

[jimmc]

I've got one going through right now and looking for ideas on payment. Escrow is hopeless if youre outside the US takes too long. I've suggested a deposit and balance on transfer?

 

[TinkyWinky]

Escrow.com took about 5 working days to release all funds (£xx,xxx) for me last month.... depends how speedy the payer puts the cash in the bank... oh... and what bank you're with as to how long the bank takes to handle the cash...

i.e. mine took a further 5 days... but it can take 10...

 

[riz77]

This is slightly off topic.

I have sold around 12 domains on this forum or privately to acorn domain forum members, payments has been via Paypal. There have been no problems, all transactions have been hassle free. The buyers have been happy, even if they have not have given me feedback, I have been able to sell to some of those same buyers a second time. Maybe I have been lucky.

If you do not want want to use Paypal or the bank transfer is too slow then try the Faster Payments system, you should receive the funds instantly or within two hours. I have recently requested payment for a recent .com domain sale using this system, I received the funds within a few minutes. (on the odd occasions the faster payments system does not work correctly).

 

[Edwin]

I have on occasion released the domains before receiving funds if I know I'm dealing directly with a large, established company and have a signed agreement with them. I figure that it's more hassle than it's worth for them to try and stiff me out of a few thousand pounds once I have their signature on a sales document.

So far, that strategy's not failed me... touch wood that it continues.

 

[afx]

Edwin,

Your sales agreement wont count for anything if the company goes belly up. You'll just join the back of the queue with the other creditors.

 

[Edwin]

Edwin,

Your sales agreement wont count for anything if the company goes belly up. You'll just join the back of the queue with the other creditors.

That's why I said "large, established company". The chance of them going belly up within a couple of days is low enough that it's a risk I'm generally willing to take if it helps me close a sale that otherwise would not happen. Because that's definitely been the deciding factor more than once in a back and forth negotiation; I've added words to the effect that "Of course, I can transfer the domain name to you before you make the payment for it" and magically their objections melt away. Not every time, but enough that it's been "meaningful" as a strategy.

 

[afx]

We'll have to agree to disagree. I would need more than two hands to count the number of large established companies that have went under in recent months.

I'm sure you know the larger companies have the worst payment terms, even when the buyer has net 30 terms and the invoice is submitted at the beginning of the month, this will not be settled until the end of the following month. A lot can happen in two months. The wheels move very slow in some acount payable depts and you need set up as a supplier first before they will issue payment and only then with a submitted invoice on their terms. It sometimes isn't as simple as getting paid via bacs / paypal in a couple of days.

I agree it is rare and has only happened to me once, I merely post this here as warning to others for something to consider, of course it can be taken with pinch of salt.

It hasn't happened to yet, which is good for you, but there is no guarantee it won't happen to you or others in future if they continually transfer before payment is received.

 

[FagEnd]

I regularly transfer domains before payment, and have also received domains before I paid.

I would only do this with members here that I know are trusted, which all regulars are.

But I only recently joined this forum so I'm still trying to figure out the trusted ones

 

[monaghan]

If the customer wants to use the domain immediately, why not set the nameserver records to the customer's dns box and they can setup and operate the domain leaving the admin side of things can to proceed in the background?

 

[Nigel]

We still sell the bulk of our domains on Sedo and think the 10% fee is a price worth paying. We have on occasions transferred domains before funds received - but only to reputable acorn traders with lots of trades at 100% (which is why its important that acorn members reciprocate on trading ratings given) and a good few years history and we'd still want to use escrow for big deals.

 

[afx]

Monahan, that's all I do from now on and agree is the sensible / cautious approach.