If you need to bail yourself or someone else out of jail, you might want to use collateral to secure your bail bond. Alternatively, your bail bonds agent may require collateral in addition to the 10 percent fee. Here’s what you need to know about collateral bonds in Angleton, TX and how the concept is defined.
What is bail collateral?
Collateral bonds are one way to secure a bail bond. If you don’t have enough cash to pay your bail bonds agent, you can give them the deed or title to certain types of property. Your bail bonds agent will hold on to the deed, title or property until the court case is over and you’ve settled all your financial obligations.
If the defendant doesn’t show up to court, or fails to meet all the conditions of their release, the court will seize the bail amount—and your bail bonds agent will be entitled to keep the property you put up as collateral. That’s why it’s so important to only put up property you can afford to lose, or put up collateral for someone you fully trust to meet their legal obligations.
When would I use collateral bonds?
Many defendants are allowed to await trial from home, depending on individual circumstances and the severity of their crime. However, courts want to ensure defendants don’t decide to skip town and try to flee from the law. That’s where bail comes in.
Collateral is used when you can’t afford to pay bail bond fees, or the bail bonds agent needs an additional guarantee on top of their 10 percent fee. Think of it as an insurance policy for the bail bonds agent: they’ve agreed to be liable for the full amount of bail if the defendant doesn’t meet their obligations. In turn, you agree to hand over the collateral, so they don’t lose the money.
What kind of collateral can I use?
There are several different types of collateral you can use. Many people put up their homes as collateral for bail bonds. You can also offer your car, electronics, fine jewelry or stocks and investments to secure the collateral bond.
Some people use credit cards as collateral, so long as their credit limit covers the full amount. Your bail bonds agent might also accept promissory notes as collateral, assuming you have enough money in the bank, real estate or other assets to pay the full amount.
Again, remember that if the defendant doesn’t show up for court, you’re on the hook for the full bail amount. Your bail bonds agent can either keep the collateral (which they will then sell to recoup their costs) or call in the debt to force payment. If, for example, you put up your $250,000 home as collateral on a $50,000 bond, you would have to either sell your home, take out a loan or otherwise find a way to pay them back.
For more information about collateral bonds in Angleton, TX, call Brazoria County Bail Bonds today.