19 Dec Why Do Some Companies Need Collateral?
Sometime when you are paying for a large bail bond, some bail bond companies require their clients to put something up as collateral. This can be very inconvenient and discouraging for some people, which will prevent them from even trying to bail their loved one out of jail.
For those who may not know, collateral is something of value pledged as security for a loan that will be forfeited in the event of a default. What this means for bail bonds, is if you cannot finish paying off the bail bond, the bail bond company takes whatever you put up as collateral. Bail bond companies do this because it ensures that they make their money, even if the client cannot keep paying.
If you are looking to bail a friend or family member out of jail, you will probably want to find a bail bond company that does not require collateral for their bonds. Bail Bond Store – Santa Clarita is does not require our clients to put up collateral on their bonds. In most cases, all we need for collateral is the signature of a working co-signer.