This is how you can save a lot of money at Sedo. I don’t normally use Sedo as a domain name escrow service for private transactions.
I use Escrow.com that also supports both US Dollars and Euro and is much cheaper.
Yesterday, the domain name Autism.Rocks sold at Sedo for $100,000. The seller talked to DomainInvesting.com about this sale and his experience using Sedo.
He complained that he paid a 15% escrow fee instead of 3% that is the normal Sedo fee for transactions where the agreement is reached outside Sedo. Clearly he was mislead by a Sedo employee that told him to add the domain name at Sedo and then ask the buyer to make the offer which he then accepted. This is not how you get the 3% fee.
It might be obvious to experienced buyers ans sellers but not to newbies.
He asked Sedo to donate the $12k and they said no. Sometimes Sedo just makes me furious.
I send Sedo a tweet saying “You should return the $12,000 fee to the seller of http://Autism.Rocks . Some decency is still required in business these days.” and I got this reply “We’re aware of the story and looking into it, checking to see where any miscommunication occurred. We’ll respond soon.”
As I said I don’t use Sedo as an escrow service but sometimes the buyer insists on using it because maybe he/she is from Europe and feels safer (just because of proximity) or they have used it before and have an account setup and ready.
The correct way is to contact Sedo support and ask them to set it up for you after you and the buyer or seller create your accounts. You send them your emails, account names, the domain name and who will pay the 3% escrow fee. They set it up for you and then you continue with the transaction. There is no other way to get the 3% fee. You can’t start such a transaction by yourself.
So this is how you can save $12,000 for a $100,000 transaction at Sedo.
Better yet, use Escrow.com and save $14,110. As you can see at the Escrow.com fee calculator the fee for a $100,000 transaction is $890 instead of $3,000 at Sedo.