An escrow account can be used for an E-2 visa investment if structured correctly. The U.S. Citizenship and Immigration Services (USCIS) accepts escrow only when the funds are fully committed and released upon visa approval. Any other condition will make the investment ineligible.
What Is an Escrow Account
An escrow account is a financial arrangement where a third party holds the investor’s funds. For E-2 purposes, funds must be released only if the visa is approved. If the visa is denied, the funds must be returned. This setup shows serious intent without exposing capital until a decision is made.
Risks
- If the escrow agreement allows funds to be withdrawn before visa approval, the USCIS may deny the application
- If there are multiple or unclear conditions, the investment may not be considered irrevocably committed
- Poor documentation can delay processing or result in a request for more evidence
- Some consulates may apply stricter scrutiny to escrow arrangements
Rewards
- Reduces financial risk before visa approval
- Meets the E-2 requirement that funds be committed and at risk
- Provides a clear record of investment for the USCIS and consular officers
- Allows the investor to delay transferring ownership or control of the funds until approval
What a Compliant Escrow Agreement Should Include
- Release of funds only upon visa approval
- Return of funds only if the visa is denied
- No other exit or withdrawal options
- Clear documentation showing the source and transfer of funds
Further reading on escrow from official sources