What Is The Difference Between A Cash Bond And A Surety Bond?
When it comes to posting bail, there are two types of bonds that you should be aware of: a cash bond and a surety bond.
When you pay the full amount of the bail in cash, it’s known as a cash bond. When you pay a percentage of the bail sum and the bonding business covers the remainder, you have a surety bond.
Which one is the best choice for you? This is determined by your financial status. If you have the cash to pay for a cash bond, it’s possible that it would be your finest choice. A surety bond, on the other hand, may be a better alternative if you don’t have enough money upfront.
Bail bonds come in a variety of forms. Cash bonds and surety bonds are just two examples. While they share many characteristics, there are several things to consider.
The Cash Bond
A cash bond is a type of bail where the defendant gives money to the court in exchange for being released from jail or prison. The court keeps the money as collateral until the defendant appears in court, and then they get it back.
Cash bonds are normally required for defendants who can’t afford to pay a full amount of bail. This type of bond comes with certain risks, however. For example, if the defendant fails to appear at their court date, the money will be forfeited.
Cash bonds are a good option for small bail amounts. They are easy to complete and do not require any other type of collateral. However, if the bond amount is high, it may be difficult for many people to raise the money quickly.
A Surety Bond
A surety bond is a type of bail bond agreement. This is an agreement in which someone agrees to be responsible for the defendant appearing in court. The person who agrees to this is called the surety. The bail bond firm usually charges 10% of the total bail amount for this service. The bail company provides the court with a document that says they will be responsible if the person who was given bail doesn’t go to all their court appearances or gets arrested again while out on bail.
The court will issue a letter of exoneration when the defendant appears as ordered. This letter tells the bond company that the defendant is no longer on bail and they don’t have to give any money back. Once you’ve completed the process, your bail agent will ask for a copy of this letter, which they will use to discharge any collateral they have on file for you.