Protect Your Assets: How Bail Bond Collateral Works

When it comes to bail bonds in San Luis, CA, collateral is not always required. In cases where it is, you need to have a plan in place to provide it so that you can secure your bail bond.

Let’s take a look at bail bond collateral and how it works.

What Is Bail Bond Collateral?

When you apply for a bail bond, you’re asking a bail bondsman to front the cash for bail on your behalf for a fee of 10% of the total bail amount, as mandated by California law.

Assuming you turn up to court as instructed and follow all other court instructions, the bail money will be refunded in full by the courts, even if you’re found guilty. Once that happens, the bail bond can be repaid, and the account with the bail bondsman can be closed.

However, if you don’t show up to court or follow court instructions pertaining to your bail conditions, you could forfeit some or all of your bail, leaving you personally liable to the bail bondsman for the outstanding amount.

When Collateral is Required

In cases where an arrested person poses a significant flight risk or where the bail amount is substantial, some collateral might be required by the bail bondsman to protect his interests.

Things like a lack of strong community ties, a history of missed court appearances, or international connections that might make fleeing the jurisdiction easier can increase the perceived risk of an individual not turning up in court. This may necessitate collateral.

If a cosigner lacks sufficient financial stability or trustworthiness, or if the arrested individual lacks sufficient financial stability or a good credit history, collateral may also be mandatory.

What Can Serve as Collateral?

Essentially, any property of significant enough value can be put up as collateral against a bail bond. This can include things like real estate, vehicles, jewelry, stock options, investment accounts, or business assets. Valuable personal assets can also be used as collateral.

Special arrangements will need to be made for certain types of collateral to ensure a seamless transfer of permanent ownership in the case of a default on the loan.

If you need a bail bond in San Luis, CA, look no further than ABC Bonds. Contact us today to secure your freedom.