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Buying and selling

Seller financing

Seller financing is when the domain owner lets the buyer pay over time, taking on the credit risk. It is a type of payment plan where the seller acts as the lender.

Why it matters

This helps buyers who cannot pay the full price at once. The seller may charge interest or a higher price, and may keep the domain at escrow until paid in full. Terms should state the down payment, the monthly amount, late fees, and what happens in a default. Sellers should check the buyer's background. Common mistake: transferring the domain at the start with only a promise to pay. If the buyer stops paying, getting the name back can be hard, so use escrow or a locked account.

Source: escrow.com

Read nextDomain Lease-to-Own and Payment Plans: How They Work

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