What is the difference between an escrow agent and an escrow service provider?

The terms escrow agent and escrow service provider are often used interchangeably, but they have a different emphasis. The escrow agent is the legal party responsible for execution and neutrality, while the service provider facilitates technical storage and verification.

Sometimes one organization is both: an escrow agent that also manages the technical infrastructure. In other situations, the functions are separated to strengthen independence.

The escrow agent remains responsible in all cases for compliance with agreements, the integrity of the materials, and the eventual release.