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Who really makes money off Bail Bonds?

Who really makes money off Bail Bonds?

Who really makes money off Bail Bonds?

The Justice system is seriously flawed and those affected the most are typically the poor and defenseless. One of such poorly-thought stipulations is the mandating of people to wait for trial in order to pay bail charges. This means a sizeable number of accused people who are obligated to make some amount of cash deposit that enables them leave jail for their homes as they await trial. The adverse consequences of a system such as this is stringent living conditions to come in the cases of low-income accused people and citizens considered as “blacks”, whose community is frequently plagued by a higher rate of crime and jail time.

The need to refine or completely do away with this system is further buttressed by the cases of deaths that occurred to Sandra Bland, Kalief Browder and Jeffery Pendleton, who were all remanded in jail due to their inabilities to post bail. Unfortunately, all the calls to change this “money bail” practice have fell on deaf ears and the well-documented inequalities that flaw such system continues to be the everyday practice in America. It is the continuation of this type of system that has led to many spring up and success of many profit-motivated companies for bail bonds in Orlando.

Bail bond services have greatly surged over the last couple of years and the reason for this is not far-fetched. A Nonprofit research and Prison Policy Initiative stated that black men and women who were in the age range of 23 to 39 who were being remanded in local jails only had a sum within the range of $568 to $900 as at the month before their arrest periods. This amount is a wickedly-distant sum when compared to the $10,000 fee being demanded for felony by the legal system. This means that most black citizen in the earlier mentioned age range cannot afford a tenth (1/10) of the actual bail price or their bail bonds in Orlando.

This simply justifies the high amount of low-income citizens awaiting trial in many justice institutions in the country. Another damning statistic reveals that defendants from the “black” race within ages 18 and 29 were often required to pay higher sums than usual for bail on an average and this demographic of people are less likely to be released without any form of bail bonds.

With references from the nonprofit Color of Change and the ACLU, a new report brings newer light the bail system, explaining that an alarming 70 percent of accused who are currently kept in jail are yet to be convicted of any crime while also stating that the number of arrested people who require money bail to leave for their homes climbed up to 61 percent from 37 percent between year 1990 and 2009. This unpleasant norm in the country’s justice system often leaves families who are unable to secure bail bonds in Orlando with the option of either leaving their beloved behind bars or entering financial contracts with bail bond corporations in Orlando.

Quite understandably, more often than not, Families and sponsors have chosen the latter arrangement in order to spare the threats to their physical health and reduce the chances of mental trauma and stress disorder. The massive patronization of bail bonds in Orlando has undoubtedly led to a massive increase in the share of releases that rely on profit-motivated bail bonds in Orlando. This number has increased from about 24 percent to 49 percent within the space of 1990 to 2009.

The continuation of this unideal justice system for securing bails means that people who do not have $10000 bear the brunt for simply being broke by spending considerable amount of time behind bars irrespective of the fact that they may be declared guilty post-trial.

The financial implication and often not-so-straightforward arrangement of for-profit bail bonds in Orlando often requires families who cannot meet up with the required amount to obtain the said sum of money from these corporations with an obligatory non-refundable 10 percent to bail bond companies. The bail-bond companies then write a bond that covers the full amount with the promise that the said sum will be repaid once the accused doesn’t appear in court. The 10 percent which amounts to $1000 is the fee that the families seeking the bail bond will never receive again. Even after the high amount of risk and non-refundable cash been leveraged by an already low-income family to secure bail for their loved one, there is usually an aftermath of loan installments and fees to be repaid on the path of the family.

Some companies that process bail bonds in Orlando may have agreements that requires redemption of collaterals following default in payments and as such, one can only estimate how big a financial loss a for-profit bail system can be for any family of an accused. The impracticality of this money bail system is again reiterated by the non-refundable sums up to the tune of $75,000,000 that was incurred by families of accused who were later declared innocent over a 5-year period in Maryland.

Considering that the above stat is simply for the state of Maryland, one can only imagine how much is spent for bail bond in Orlando and other parts of the country altogether. Closer study have however showed that bail bondsmen are not the only profiting set of people. A lot of bail-bond services have been skillfully masked under small storefronts and situated in communities where low-income is dominant, but most if not all of these service providers are actually owned and ran by bigger insurance companies.

In defense of the current bailing system, statements have been made concerning how the use of this method is the only way of guaranteeing that accused persons refrain from staying at large, but this could be no further from the truth as the system has only successfully kept more people in jail awaiting trial and bulked the pockets of bail bondsmen and global insurance companies alike.

The high profitability and involvement of big fishes of the global insurance is demonstrated by the fact that there are no fewer than 25,000 bail bond companies across America, and of that enormous number, only some 10 insurers can take credit for underwriting most the $14 billion bonds that are issued annually. Also, the industry posts nothing lesser than $2 billion in profits every year.

Bottom line

In view of the above statistics and the number of bail bond establishments across the country, it can be concluded that there are several private equity establishments that play a laudable role. The principal part of bail bond underwriting can however not be pinned on these smaller businesses as numerous global insurers are responsible for managing the affairs and chain of activities between their corporate brand and these for-profit bail-bond business fronts.

Getting a bail bond in Orlando is easy with Mike Snapp Bail Bonds and we also offer convenient payment plans if you are low on cash. Our primary object is making sure that you and your loved ones are reunited as quickly as possible and we do our best to expedite the bail bonds process whenever you need us. Contact us today for more information on the most reliable bail bondsmen in Orlando.