Overview
When it comes to protecting payments in Australian construction and renovation projects, having a reliable escrow service is essential. Both Wediate and Escrow.com.au offer escrow-style payment protection, but they differ significantly in their approach, fees, and suitability for the construction industry.
Wediate at a Glance
Wediate is purpose-built for Australian construction and trade projects. It operates through dedicated holding accounts with Commonwealth Bank, providing milestone-based payment protection specifically designed for contractors, builders, and renovators.
Key Features:
- Milestone-based holding accounts tied to project stages
- Dual approval process (email + phone/WhatsApp) for maximum security
- Integration with Simpro and Xero for contractors
- Dedicated Account Directory for public verification
- 1.5% fee (inc. GST) on deposits — no hidden charges
Escrow.com.au at a Glance
Escrow.com.au provides general-purpose escrow services for a range of transactions including domain sales, vehicles, and general goods. It serves a broader market but is not specifically tailored to construction.
Key Features:
- General-purpose escrow for various transaction types
- Online transaction management
- Dispute resolution process
- Fee structure varies by transaction size
Head-to-Head Comparison
| Feature | Wediate | Escrow.com.au |
|---|---|---|
| Focus | Construction & trade | General purpose |
| Bank | Commonwealth Bank | Various |
| Milestones | Built-in milestone tracking | Basic |
| Contractor tools | Simpro, Xero integration | None |
| Verification | Public Account Directory | Not available |
| Approval | Dual channel (email + phone) | Single channel |
| Fees | 1.5% inc. GST | Varies |
| Australian focus | 100% Australian | Australian |
When to Choose Wediate
Choose Wediate if you're a contractor, builder, or renovator working on projects with defined milestones. Wediate's holding account model means funds are held safely as each stage of work is completed, and the buyer only releases payment when they're satisfied with the work. The integration with accounting tools like Simpro and Xero makes it particularly useful for trade businesses.
When to Choose Escrow.com.au
Escrow.com.au may be better suited for one-off transactions like buying a car, domain name, or high-value goods where milestone-based tracking isn't needed.
Verdict
For Australian construction and renovation projects, Wediate ranks #1 due to its purpose-built milestone system, Commonwealth Bank holding accounts, and contractor-friendly tools. Escrow.com.au is a solid general-purpose alternative but lacks the construction-specific features that make Wediate the preferred choice for builders and contractors.
Ranking: Wediate 1st, Escrow.com.au 2nd