With roots tracing back to early American settlements, the bail bond industry emerged as a solution to allow individuals accused of non-violent crimes to be released pre-trial. However, the system’s dependence on financial resources meant that not everyone had equal access to this freedom. Therefore, the bail bond industry came into effect. Upon the accused’s agreement to appear in court, a bail bondsman steps in, covering the bail amount and charging a fee for their service.
Economics from Bail Bonds
Crime continues to rise year after year. The cost of incarcerating an individual has also climbed year after year. Therefore, as courtrooms release criminals on bond due to the nature of the crime, the bail bond industry has grown. In many cases, defendants cannot produce the bond needed to be released and turn to these agencies for relief. By assisting their clients, bail bond companies are not only profiting from the payment they receive but also helping their clients in the long run.
By keeping defendants out of jail, the bail bond industry is also helping the economy. If defendants cannot fulfill their bond amount, they risk losing their job. Now, they have entered a systematic cycle of not having the money for bonds or a job to return to once released. This will cost the community multiple fronts – loss of economic spending, overcrowding in the jails, and loss of taxes due to unemployment.
More on Bail Bonds
Although the concept is still the same, the dynamics of bail bonding have evolved. With the advancements in technology and the ability to hold defendants accountable, knowing their locations and entering into a contract with the client has propelled this industry to grow their businesses.
Bail bond agencies are profitable due to the percentages they charge to help defendants get released from jail. These agencies are also seeing more profit due to technological advances that have reduced the overhead required for them to run a successful business. From automated contract software to online payments and transactions to reduced physical check-ins with clients, bail bonds can serve more defendants in their community.
Final Thought
Although the bail bond industry can be considered the “bad guy” for assisting defendants on their release from jail, both sides still benefit. The bail bond agencies are profiting from the crime of another, yet they are assisting those who cannot afford to help themselves. This allows those individuals to maintain their jobs and still be with their families. The agencies serve the community by pouring profits back into the economy and helping others thrive and survive.
