Escrow Agreement

1. Definitions

• "Escrow Vault" — The secure, bank-grade account where traveler payments are held until milestone conditions are met.
• "Milestone" — A predetermined checkpoint during the tour at which a portion of escrowed funds is released to the Host.
• "Traveler" — The individual booking and paying for the tour experience.
• "Host" — The verified local guide providing the tour experience.
• "Platform" — HostSG Pte. Ltd. and its associated digital services.

2. Escrow Service Overview

HostSG operates a milestone-based escrow payment system designed to protect both travelers and hosts. When a traveler books an experience, the full payment is deposited into our Escrow Vault — a segregated, bank-grade account — rather than being sent directly to the host.

Funds are released to the host incrementally as predefined milestones are confirmed, ensuring that:

• Travelers only pay for services actually delivered.
• Hosts receive guaranteed, timely payments for completed work.
• Both parties are protected against fraud, no-shows, and disputes.

3. Milestone Structure

The standard HostSG escrow consists of three milestones:

• Milestone 1 — Meetup & Verification (30%): Released when the traveler and host meet in person, verified through mutual GPS check-in within the designated meetup zone.
• Milestone 2 — Mid-Tour Checkpoint (40%): Released when the tour reaches its midpoint and core experiences (food tastings, site visits, etc.) have commenced. Confirmed via in-app traveler acknowledgment.
• Milestone 3 — Tour Completion (30%): Released upon tour completion after the traveler confirms satisfaction in the HostSG app. If not confirmed within 24 hours and no dispute is raised, funds are auto-released.

4. Deposit & Fund Holding

All escrowed funds are:

• Held in a segregated trust account, separate from HostSG's operational funds.
• Protected by AES-256 encryption and TLS 1.3 transport security.
• Managed in compliance with MAS (Monetary Authority of Singapore) payment services regulations.
• Subject to regular independent audits.

HostSG does not earn interest on escrowed funds. Any interest accrued is used to offset platform maintenance costs as permitted by applicable regulations.

5. Milestone Release Conditions

Funds are released from the Escrow Vault when:

1. The traveler actively confirms the milestone in the HostSG app, OR
2. The auto-release timer expires (24 hours after milestone event) without a dispute being raised, OR
3. HostSG's dispute resolution team rules in favor of the host after investigation.

Milestone releases are processed within 1–3 business days to the host's registered bank account or e-wallet.

6. Platform Service Fee

HostSG charges a platform service fee of 12% on each completed booking. This fee is:

• Deducted from the host's total payout (not charged to the traveler).
• Calculated on the total booking amount before milestone splits.
• Inclusive of payment processing, escrow management, insurance, and platform maintenance.

7. Refund & Dispute Policy

Full Refund Scenarios

• Host no-show (verified by GPS and timer expiry).
• Tour cancelled by host after confirmation.
• Safety incident reported and validated by HostSG.
• Booking cancelled 48+ hours in advance by the traveler.

Partial Refund Scenarios

• Tour significantly deviated from the listed description (assessed by HostSG mediation team).
• Early tour termination due to circumstances beyond the host's control (weather, emergency closures).

Dispute Process

Disputes must be raised within 48 hours of the scheduled tour completion. All disputed funds remain in the Escrow Vault until resolution. HostSG aims to resolve disputes within 5 business days.

8. No-Show Protection

If a host fails to appear at the designated meetup point within 30 minutes of the scheduled time:

• 100% of escrowed funds are automatically returned to the traveler.
• The host's account is flagged for review.
• Repeated no-shows result in permanent platform suspension.

9. Regulatory Compliance

HostSG's escrow service operates in compliance with:

• MAS Payment Services Act 2019 (Singapore).
• Anti-Money Laundering (AML) and Countering the Financing of Terrorism (CFT) regulations.
• Singapore Personal Data Protection Act (PDPA) for all financial data handling.

10. Limitations & Liability

HostSG's liability under this Escrow Agreement is limited to the amount of funds held in escrow for the relevant booking. HostSG is not liable for:

• Losses arising from the traveler's or host's breach of these terms.
• Delays in fund release caused by banking system outages or regulatory holds.
• Disputes between parties that fall outside the scope of the escrow service.