Interest-bearing escrow?

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March 12, 2025

by a searcher from Georgia State University in Atlanta, GA, USA

Which interest-bearing escrow company do you use to keep the hold-back? What's the typical interests rates you're seeing?

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Reply by a searcher
from University of Maryland at College Park in Havre De Grace, MD 21078, USA
If actually holding a cash (rather than it being an offset in the seller note), I would consider parking it at the bank you will use for the business. Your lawyer may also be willing to place it in their escrow account.
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Reply by an intermediary
from Clemson University in Raleigh, NC, USA
Note that some jurisdictions prohibit interest bearing escrow payments regardless of who is entitled to the interest component.
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