How does a bail bondsman make money?
When we hear about a bail bondsman, the first thing that comes to mind is the money they make from helping people secure their release from jail.
However, the bail bonds industry involves many intricacies that can impact how bail bondsmen make their money.
Let’s break down bail bonds, how they work, and then answer the questions, “How does a bail bondsman make money?”
What is a bail bond?
A bail bond is a contract between a bail bondsman, the court, and the defendant. The bail bondman is a licensed and insured agent who provides a guarantee to the court that the defendant will appear for their trial.
The defendant or their family pays a percentage of the total bail amount to the bail bondsman – typically 10% – and the bondsman pays the full amount of the bail to the court. The bail bondsman is then responsible for ensuring that the defendant appears in court when required.
If the defendant fails to appear in court, the bail bondsman has the right to locate and apprehend the defendant to bring them to court. The bondsman may also hire a bounty hunter to locate the defendant if they are difficult to find.
If the defendant is found and returned to court, the bondsman can then recover the full amount of the bail from the defendant or their family.
Related Content: How much does a bail bond cost in California?
How is the total bail amount set?
The amount of bail can vary widely depending on factors such as the seriousness of the crime, the defendant’s criminal history, and other factors. Let’s break down those factors.
- Severity of the crime: One of the main factors that affect bail amount is the severity of the crime that the defendant is accused of committing. The more serious the crime, the higher the bail amount is likely to be. For example, bail for a minor offense like shoplifting may only be a few hundred dollars, while bail for a serious crime like murder or armed robbery could be in the tens of thousands or even hundreds of thousands of dollars. (Why would someone have a 2 million dollar bail?)
- Criminal history: Another factor that can affect bail amount is the defendant’s criminal history. If a defendant has a long history of criminal activity, they may be seen as more of a flight risk or a danger to the community, which could result in a higher bail amount being set. On the other hand, a defendant with little to no criminal history may be seen as less of a risk and could be granted a lower bail amount.
- Flight risk: Another factor in determining bail amount is the likelihood that the defendant will flee. If a judge believes that the defendant is likely to flee the jurisdiction and not return for their trial, they may set a higher bail amount. Factors that can contribute to a person being seen as a flight risk include a lack of ties to the community, a history of missing court dates, or a lack of stable employment or living arrangements.
- Danger to the community: Finally, judges may also consider the potential danger that a defendant poses to the community when setting bail amount. In cases where the defendant is accused of a particularly violent crime or is believed to be part of a gang, for example, the judge may set a higher bail amount to ensure that the defendant remains in custody until their trial.
Related Content: Why is bail so expensive?
How does a bail bondsman make money?
Bail Bond Fees
The most obvious way that bail bonds make money is through charging fees for their services. Depending on the state and local laws, these fees can range — but in California, this fee is 10 percent of the total bail amount set by the court.
This fee is non-refundable (regardless of whether or not the defendant appears in court). This is important to keep in mind when considering whether or not to use a bondsman.
Related Content: Do you get bail money back if charges are dropped?
Collateral
Another way that bail bonds make money is by collecting collateral from defendants or their family members who are unable or unwilling to pay their entire bond upfront. Collateral is something of value – often property – that can be seized if a defendant fails to show up for their scheduled court appearance.
The value of this collateral must be equal to or greater than the amount of bail being set by the court and can include items like vehicles, jewelry, cash, stocks, real estate, etc. If you are unable to provide sufficient collateral for your bond amount, then you may need to seek out other forms of help from friends or family members who can vouch for you financially and provide collateral on your behalf.
Bail bonds play an essential role in our criminal justice system by providing accused individuals with access to pre-trial release while also ensuring they appear in court as ordered. Understanding how bail bonds make money is key when deciding if they are right for you or someone you care about—they will charge fees but may also require collateral depending on your situation and risk level associated with your case. It’s important to understand all aspects before making any decisions regarding using a bail bond service so that you don’t get stuck with any unexpected costs down the road.