Escrow payments explained: why not to pay 100% in advance

The two problems escrow solves

Small jobs in India usually go one of two risky ways. Either the customer pays everything upfront and hopes the work gets done, or the worker does the job and then chases the payment for weeks. Both happen every day, and both break trust.

Escrow sits in the middle. The customer pays into a held account first, so the worker knows the money is real. The money only moves to the worker when the job is confirmed.

How it works, step by step

1. You agree the price with the worker.
2. You pay that amount into safe holding.
3. The worker does the job, knowing the money is already there.
4. You both confirm it’s done, and the money is released to the worker.
5. If there is a dispute, a support team looks at the chat, photos and agreement and decides.

Is it legal and safe in India?

In India, platforms that hold customers’ money for merchants have to do it through a payment aggregator authorised by the Reserve Bank of India. Taskly will hold payments with an RBI-authorised payment partner, not in a company bank account.

When paying an advance still makes sense

Sometimes a worker needs money for materials before starting, like tiles or paint. Pay for the materials directly or against a bill, and keep the labour part held until the work is done.