When you need to pay for a bail bond, you will be required to pay cash, unless you prefer to put up collateral in place of the monetary fee. This is a common scenario among those who are cash poor, or cannot give up their cash for reasons of covering their immediate bills and expenses. There are various forms of collateral, but only a select few that bail bondsmen will agree to take.
Continue reading to learn more about using collateral for bail, including the 7 common types accepted by bail bond companies in Indiana.
The Truth About Bail Bond Collateral
Most bail bond companies prefer to avoid taking collateral for their services. This is one reason why they will only agree to accept specific types of collateral. When a person uses collateral for bail bond services, they are essentially agreeing to forfeit that collateral in the case that the defendant does not appear for their scheduled court hearings. Using collateral to cover a friend or loved one’s bail is a massive risk since you can lose your collateral if they do not show up for their court date, or skip bond. Unless you know the person very well, it is not recommended to do so. Talk to your local Indiana bail bondsman for alternatives to obtaining a release from jail for your friend. Or see our blog, “My Friend Was Just Arrested. What Happens Next?” to learn what you need to know about posting someone else’s bail.
Although the type of collateral accepted by bail bondsmen vary from company to company, and even state to state, the most common (other than cash) include the following 5:
➥ Personal Property – Bail bondsmen will accept certain types of high-value personal commodities as collateral for their services. Examples might include vehicles, boats, water crafts, construction equipment, farming equipment, coin and baseball card collections, and jewelry.
➥ Real Estate – Perhaps the most commonly used and accepted collateral in the bail bonds industry, other than cash that is, is property. Land and real estate are prime types of collateral that can be used to obtain a bail bond.
➥ Non-Retirement Brokerage Accounts – Although the IRS strictly forbids the use of retirement accounts as bail bond collateral, non-retirement brokerage accounts can be used. Personal investment accounts are a prime example, including stocks, bonds, and other investments that can be liquidated.
➥ Irrevocable Letter of Credit – An Irrevocable Letter of Credit (ILOC) is issued by a bank, but not typically to the average person. Such letters basically guarantee the conditions of the bail bond on behalf of the client.
➥ Credit Card – Although rare, some bail bond companies accept credit cards as collateral for their service. A hold is placed on the card until the defendant appears for all court dates and released from bond conditions.
Where to Get Collateral Bail Bond Services in Indianapolis, Indiana
Call Woods Bail Bonds at 317-876-9600 for safe and secure collateral bail bond services in Indianapolis, Indiana. We operate 24 hours a day, 7 days a week, and 365 days a year, which means we are always standing by to take your call. Whether 3am or a national holiday, our Indiana bail bondsmen are out there getting people like you out of jail, safely and securely.