Localbitcoins - buyer asked to release coins immediately ?

[gottano]

Hi all

I'm a first time seller on Localbitcoins and I wanted to sell a small amount (0.5 coins).  So I replied to an advertiser who was offereing a reasonable rate and who had "100+ trades with over 300 partners, trusted by +20 people, blocked by zero and a pro trader badge" .  I was looking for a bank transfer.
 
Now, this person asked me to release the coins from escrow as soon as he had marked the payment as "done"  , which he was going to do straight away.  I asked him if I could release the coins when I'd  be able to check that the money had indeed arrived in my bank account, but he said no - he insisted it had to be done straight away.

In the end we agreed to cancel the deal, and that was that.  

So Im wondering what the point is of having my coins in escrow? Of indeed the whole escrow system.  

Also, would it be reasonable to ask the buyer to upload a screen shot of the transfer, which I suppose would be done via his home banking ?

What are your views?  Am I being over cautious here???

Many thanks

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[Nova!]

You did the right thing.  The point of escrow is to give you enough time to verify that good funds have arrived.
On PayPal, Dwolla, or other types of deposit you should take it a step further and go get your cash out and hold it in your hands before you release funds.
Otherwise there could be a chargeback up to 180 days later.

[Sonny]

What are your views?  Am I being over cautious here???

Don't release it until you can see the money in your account.
Even if the buyer is having a good record, he could turn to the dark side anytime.

[escrow.ms]

What are your views?  Am I being over cautious here???

Don't release it until you can see the money in your account.
Even if the buyer is having a good record, he could turn to the dark side anytime.

This, You did right thing mate.
Always check funds in your bank account first and if there's some problem ask for screenshot of payment and verify our bank account number.

I also have pro trader badge on localbitcoins and frankly I never asked any seller to release payment after sending funds, I just mark payment as completed and leave a note for them to check their bank account.

[KWH]

You did the right thing.  The point of escrow is to give you enough time to verify that good funds have arrived.
On PayPal, Dwolla, or other types of deposit you should take it a step further and go get your cash out and hold it in your hands before you release funds.
Otherwise there could be a chargeback up to 180 days later.

Won't help too much I'm afraid. Paypal will come after you should they side against you.
OP, never release until you see the funds. Paypal is quite risky to sellers.

[MatTheCat]

Hi all

I'm a first time seller on Localbitcoins and I wanted to sell a small amount (0.5 coins).  So I replied to an advertiser who was offereing a reasonable rate and who had "100+ trades with over 300 partners, trusted by +20 people, blocked by zero and a pro trader badge" .  I was looking for a bank transfer.
 
Now, this person asked me to release the coins from escrow as soon as he had marked the payment as "done"  , which he was going to do straight away.  I asked him if I could release the coins when I'd  be able to check that the money had indeed arrived in my bank account, but he said no - he insisted it had to be done straight away.

In the end we agreed to cancel the deal, and that was that. 

So Im wondering what the point is of having my coins in escrow? Of indeed the whole escrow system.   Aside from that, there seems to be a certain time limit , set by the platform, that I have to release the coins.. This time limit is something like 390 minutes (if Im not mistaken) which isn't really enough to check if the money arrived into my account (which, from experiece, can take over 12 hours.)

Also, would it be reasonable to ask the buyer to upload a screen shot of the transfer, which I suppose would be done via his home banking ?

What are your views?  Am I being over cautious here???

Many thanks

This seller sounds like a bit of a shark. Had you released your Bitcoin, and the seller never bothered to pay you, you would have no way of getting your money back and the best revenge you would be able to get, would be to give him a bad review....which wouldn't affect his rating at all, cos you are a new member and he is using an established account.

[gottano]

Thank you all for your replies. It's now crystal clear to me that I should never release the coins until the money hits my account ! 

As to the time limit I mentioned in my previous post (which I have editted) it has to do with the buyer's time limit (his time to deposit the money) and nothing to do with the seller's time limit (mine).

Thanks again