Here is What You Want to Know About Collateral Bail Bonds

Posted on April 20, 2022 by admin

When it comes to getting out of jail in Indianapolis, bail bond service is the best option for budget-minded folks. The alternative to bail bond service would be cash bonds, which required an individual to pay the full bail amount in cash directly to the jail. Now, there are pros and cons to using either option, but bail bond services are more popular simply because they are more reasonable. Most people cannot afford to give up large sums of cash at once, and bail bond services provide an alternative to doing that.

When it comes to paying for a bail bond, companies will accept different forms of payment depending on their personal preference and the state laws. One such bail bond payment option is collateral. A person, whether a co-signer for the bond or the actual defendant, can secure their bail bond agreement with an asset of equivalent value. This is known as collateral.

Continue reading to learn what you need to know about collateral bail bonds, including what makes good collateral and what does not, plus who to trust in Central Indiana for a fast and secure release from jail.

Collateral Bail Bond Service Indianapolis Indiana 317-876-9600

Collateral for Bail Bonds

Using collateral for a bail bond means that you are fronting something of considerable financial value, like a home or car, that is equivalent to the bail bond amount. The bail bond agency will hold the asset as collateral to secure their own financial protection. The agency has a legal duty to ensure the full care and protection of collateral while in their possession.

When the defendant appears for their court date, as required in the bail bond contract, the collateral is returned. If the defendant fails to appear, they are deemed a fugitive of the law and the collateral they used for a bail bond is forever forfeited.

Basically, the collateral must be of equal value or more to the bail amount, and it is used to ensure that the defendant cooperates with all bail bond contractual obligations and court requirements. If the defendant flees, the bail bond agency is responsible for paying back the remaining bail amount. To do this, they liquidate the collateral the defendant legally fronted in the bail bond agreement.

Good Collateral Versus Bad Collateral

Bail bond companies differ in terms of which types of collateral they accept. Not only are they regulated by the state on such matters, but they also get to use a degree of their own personal discretion to decide what to accept or not accept as collateral. Additionally, there are good types of collateral and bad types of collateral to use for bail bonds.

For instance, it is not wise to use your house as collateral if you are still making mortgage payments on it. Similarly, you don’t want to use a car for collateral if you are leasing it or have not yet paid it off. That goes for anything you have purchased on credit or that a lender still owns the lien or title on.

Examples of good collateral for bail bonds would include things that are opposite of what was just described, like unfettered real estate that does not have any mortgages of liens, or high value assets like cars, boats, and motorcycles that are paid off in full. You can also use bank accounts, fine jewelry, computers, guns, and televisions.

Are you looking for help with bail bonds? Contact Woods Bail Bonds at 317-876-9600 for trusted, secure, and professional bail bond services in Indianapolis, Indiana. We serve all of Central Indiana and its surrounding counties with 24 hour service.

Do I Need Collateral for a Bail Bond?

Posted on May 16, 2019 by admin

It can be quite a confusing time for anyone dealing with the need for a release from jail, whether for themselves or a loved one. Fortunately, our jail systems work closely with local bail bond agencies, giving inmates and others an opportunity to get out of jail and await their scheduled court hearing from home. With bail bond services, there is no need to miss work and be reprimanded or worse, fired, nor miss important familial responsibilities that require your attention. Best of all, bail bonds allow individuals to get their legal defense in order prior to their court dates, which increases their chances of avoiding the maximum penalties for their criminal charges.

But as mentioned, bail bonds, regardless of all their benefits, can also be quite confusing. A common inquiry surrounding the bail bond industry has to do with collateral. Many people are misguided on the terms and conditions of bail bonds, collateral, and financial liabilities.

Continue reading to learn what you need to know about bail bonds, including what collateral is and when you may need it for a release from jail.

Explanation of Collateral

Collateral simply refers to a person’s assets that can be translated into cash, and thus, adequate to secure a debt. A person will provide collateral in exchange for a service (such as a bail bond), and if they cannot cover the terms and conditions of the contract (a bail bond agreement), they will forfeit their collateral, and the service provider (a bail bond agent) will still be able to collect financial restitution for the value of the collateral. If the payee does meet the terms and conditions of the contract, the provider returns all collateral once the case is closed.

Types of Collateral

The most common types of collateral are real estate and vehicles, as well as, bank accounts, bonds, stock, cash, and more. The type of collateral put up by an individual is at their own discretion, and largely depends on how much debt they need to secure and what they are willing to lose if things go wrong.

Using Collateral for a Bail Bond

Most bail bond companies do not require collateral. Collateral is typically applied for high-profile or egregiously-expensive bonds. Rather than collateral, most individuals need to be employed, have reliable income or cash, and a good reputation within the community to be granted a bail bond. Not sure you can afford a bail bond? See our blog, “Your Options for Covering the Cost of a Bail Bond” to learn what you can do. Talk to a licensed and insured bail bond agent for trusted advice on paying for a bail bond in Indiana.

Need to Get Someone Out of Jail Today?

Call Woods Bail Bonds at 317-876-9600 for safe and secure Indianapolis bail bonds you can trust. We also offer prearranged bail bond services for those needing to surrender to an arrest warrant. In some cases, we can get you turned in and released in as little as one hour. And don’t forget that right now, we are offering 8% bail bonds! Request a free estimate or jail information, anytime.

What Do Bail Bond Companies Accept As Collateral?

Posted on September 25, 2018 by admin

There are various ways you can pay for a bail bond, and one of those options is an alternative to cash. Many bail bondsmen accept collateral in place of cash for those who do not have the immediate funds to cover the non-refundable bail bond fee. If you are in the same position, and require a bail bond for yourself or a loved one, you have the option of putting up collateral as well, so long as you retain the types of collateral accepted by such agencies.

Continue reading to learn more about collateral and bail bonds, including what types of collateral are generally accepted by bail bond agents.

Indiana Bail Bonds 317-876-9600

What is Collateral?

In the indemnity industry, collateral is an alternative or addition to paying cash for a bail bond. Rather than paying cash for a bail bond, a client can offer collateral in place of cash, or in addition to cash, to secure a release from jail. Essentially, it is a type of credit or loan since you will receive the collateral back in full so long as you adhere to all court orders, including showing up to your hearing on time. This arrangement also ensures the bail bondsman that you will show up for court. Overall, collateral is something of value that is used as a form of short term debt security and payment assurance.

Bail Collateral

There are numerous forms of collateral a client can offer in place of, or in addition to, cash. Most types of collateral are significant, tangible assets, such as real estate and motorized commodities. However, there are some unexpected forms of collateral that are usually accepted by most bail bond companies. These include:

▣ Real Estate
▣ Vehicles
▣ Boats/Yachts
▣ Watercrafts
▣ Bank Accounts
▣ Stocks

▣ Investment Bonds
▣ Jewelry
▣ Personal Credit
▣ Credit Cards
▣ Promissory Notes (Rare)
▣ High Value “Pawnable” Items

Can’t Pay for a Bail Bond?

If you are having trouble finding ways to pay for a bail bond, whether you need to surrender to an arrest warrant or bail a loved one out of jail, there are other ways. See our blog, “How to Find Money for Bail” for ideas that can help raise funds quickly for a bail bond. In the meantime, discuss your concerns with a trusted Indiana bail bondsman who cares about your security and comfort. This bail bondsman is James Woods, and his agency offers this type of compassionate and personalized bail assistance.

Contact James Woods Today!

Danville Bail Bonds 317-745-6500

Call Woods Bail Bonds at 317-876-9600 for prompt and professional Indianapolis bail bond services, information, and advice you can trust. Owner, James Woods, and his team of licensed and insured bail agents, provide 24 hour bail bonds in over 30 Indiana counties. Regardless of time, day, or city, we can get you out of jail fast, and for as low as 8% of your total bond! Request a free estimate, anytime.