What is Collateral in the Bail Bond Industry?

Bail Bonds Indianapolis 317-876-9600

Bail Bonds Indianapolis 317-876-9600

When people are arrested, they are taken into custody where they await their bail hearing. At a bail hearing, the judge will determine what amount to set your bond, taking into consideration your past offenses, and the severity of the current one. Your bail amount will differ from everyone else because of these particular variables.

Once your bail amount is set by the courts, you are given the opportunity to either hire a bail bond agency and obtain a release from jail, or remain in jail and await your next court date, in which you’ll receive your sentencing. When you hire a bail bond agent to obtain a release from jail, many will require some form of collateral in exchange. Read on to learn what collateral means in the world of bail bonds.

Collateral Bail

Collateral is any form of asset, whether it’s cash, property, vehicles, or something else of equal value that is held onto by a person lending a service or product. A bail bond agency will sometimes facilitate their services for the arrested, without asking for any collateral at all. Again, it all depends on the previous criminal history, employment status, credit history, and the type of current offense. A bail bondsman will examine these variables before deciding if they require collateral or not.

The reason a bail agency would ask for collateral is to ensure that the defendant does not skip bail, or fail to appear for their court dates. If they fail to appear, the bond agency is obligated to pay the remaining bond amount unless they can find the person and bring them to the courts. A bond amount can be anywhere from $1000 to $100,000. A bail bond agency only charges 10-15% of the entire bond amount. If a person’s bond amount is $5,000, then a bail agency would charge a $500 non-refundable fee for a bail bond. If the person skips their next court date after being released on bail, the agency has to pay the remaining $4,500 until they find the fugitive.

Indianapolis Bail Bonds

Woods Bail Bonds

Woods Bail Bonds 317-876-9600

For more information about collateral and bail bonds, call Woods Bail Bonds today! James Woods is a veteran in the bail bond industry and is happy to answer any questions you have about turning yourself in, outstanding arrest warrants, bail, and more. He and his team of licensed bail bond agents have been working in the bond industry for more than 30 years! Call them today at 317-876-9600 for questions about collateral and bail bonds in Indianapolis and its surrounding cities in Indiana.