Federal bail bonds are different from normal state or county bail bonds but they have some similarities. The minor differences are easy to understand. The major difference is found in the increased 15 percent premium that needs to be paid up front at the beginning of the bail bonds process. This is used for the time, extra work, and risk that the bail bond agency is taking by dealing with the federal case. There are very few bail bond agencies that are able to deal with federal bail bonds because they require a large amount of specialist knowledge and the individuals using the service are paying a higher premium in order to use those resources.
Those who use this method have to think carefully about the use of collateral. When bailing out someone for a federal crime, the individual needs to be able to prove to the court that they have enough collateral to cover the full amount of the bail bond. This is known as a nebbia hearing and is vital if the individual is serious about bailing the other individual out of jail. As a result, most are advised to think carefully about the bail option and ensure that they do have the correct amount for the collateral before the process is begun. Having a high quality bail bonds agency will make the process simpler. The agency will be able to help the individual throughout the process and ensure that everything has been taken care of correctly so that the bail bond is able to be used.
Understanding Bail Bonds
A bail bond, also known as a surety bond, is defined as a “formal, legally enforceable contract between a first party (the principal or obligor), a second party (the customer or obligee), and a third party (the surety, such as a bank, bonding company, or insurance company) whereby the surety guarantees payment of a specified maximum sum, or to otherwise compensate (indemnify), the obligee against damage or loss caused by the actions (or a failure to perform) of the obligor)." Bail bonds guarantee that the defendant will appear in court every time that he or she is ordered to do so based on requests by the court.
If the defendant doesn’t attend court as requested, then the bond will be forfeited and the defendant will be issued an arrest warrant. The statutes for this vary from state to state, although in most cases the defendant will be subject to apprehension and arrest. The cost for bail bonds tend to vary from state to state and may be based on statutory rates or rates that have been filed by the insurance company that has underwritten the bond. Depending on the defendant’s criminal history (if any), collateral may be needed. A collateral receipt should be provided when the bond is written. The return of the collateral is based on statutes in most states; it should be held in trust for the party that is arranging the bail.