How Escrow Works for Online Marketplaces in Nigeria
A plain-English explanation of escrow for Nigerian buyers and sellers — what it costs, how long it takes, and why it is the single best defence against marketplace fraud.
Escrow is a simple idea: a neutral third party holds the buyer's money until both sides have done their part. It removes the trust gap that powers nearly every online scam in Nigeria.
The four steps of a SafeTrades escrow transaction
- Buyer pays in Naira via Paystack or Flutterwave on the listing page.
- Funds sit in SafeTrades' escrow wallet — neither buyer nor seller can withdraw them.
- Seller delivers the item (in person, courier or pickup).
- Buyer taps 'Confirm delivery'. Funds are released to the seller's bank within 24 hours.
What if the buyer never confirms?
Funds auto-release after 72 hours from delivery, unless the buyer opens a dispute. Disputes are reviewed by SafeTrades support with chat logs and delivery evidence.
What does escrow cost?
SafeTrades charges a small percentage of the sale (clearly shown at checkout) which covers Paystack/Flutterwave fees and dispute handling. There is no fee to list, only to complete a sale.
Is my money safe in escrow?
Escrow funds are held in a regulated payment processor's wallet, separate from SafeTrades' operating accounts. They cannot be used by anyone except to pay the seller or refund the buyer.
Bottom line
If you are buying or selling anything above ₦20,000 online in Nigeria, escrow is no longer optional — it is the difference between a smooth transaction and a story that ends with 'I learnt my lesson'.
Sell safely on SafeTrades — escrow-protected payments
List your item free. Buyers pay in Naira via Paystack or Flutterwave; funds are released to you after delivery.