Do All Bail Bonds Require Collateral?
No two bail bonds are ever the same. The requirements each person must meet vary upon the factors of the person who wants to get out of jail. Bondsmen, like all businessmen, want to ensure their investments into a person’s freedom are safe and logical. On some occasions, this means the bonding agency may ask for some sort of security to ensure their money is safe. However, they do not require this from everyone. In the following, we will examine the reason your bail bond may require collateral.
One of the first conditions a bonding agency will consider is the defendant. They want to know if the person whose bail they are covering is at any possible risk of violating their court agreements. For instance, say police arrest a man by the name of Leo on a single charge of drug possession. Leo has a longstanding job and lives within the area where the officers arrested him. Leo’s parents also live nearby, and when he called them for help, they wanted to cover his release.
Leo’s parents go to the nearby bonding office. They tell a bondsman that they want to get their son out of jail, but his bail is $10,000, which they do not have. The agent tells the parents he can pay the court, but for a fee of $1,000. He also wants to know more about Leo first to determine if the contract will require collateral. Because Leo has a job, a home in the area, and no prior charges, the bondsman believes he is not at risk of breaching his court agreements. The bondsman takes the case, and does not ask the family for collateral because Leo is not likely to provoke the court to keeping the money.
Say for instance that this was not Leo’s first offense. Prior to his latest arrest, he had several charges in the past, had violated his parole, and had no job or set home in the area. The bondsman may think it unwise to cover Leo’s bail without some form of collateral. In the event Leo broke his court agreements, which may include going to court and drug classes, the agent would forfeit his money to the court. As an insurance in this case, the parent’s sign over the title of their car to the agent.
If Leo violated his terms and the court kept the money, the bonding company would take control of the parent’s car to cover their losses. Without collateral, bail bond companies would be at risk of losing a large sum of their money. However, not every person appears to pose a risk of violating their court agreements. Whether you will require to sign over collateral depends greatly on this factor.