There are many types of bonds. They may seem the same, but surety and bail bonds are different. Surety bonds are used during mediation in the legal system. Bail bonds can help release a person from custody. Here are a few things to know about these bonds.
How Does a Bail Bond Work?
A person will use a bond bail to get released from police custody. With an arrest, the person is placed in jail. This person must go before a judge for a bond hearing. This hearing will determine if the person is eligible for bond. A judge will also set the price of the bond as well. If the person can pay for the bond, they are released from custody. Some people use the services of a bail bond agent. These companies charge a fee for their services. When the bond is paid, the person is released from custody until their court date.
How Does a Surety Bond Work?
Financial obligations can be guaranteed with a surety bond. A surety bond includes an agreement between three parties. The surety, the obligee, and the principle are the main parties in this agreement. The principal will take out the bond on the obligee. If the obligee fails to meet financial obligations, the surety will compensate for it. An indemnity agreement is included with all surety bonds. All the risk is on the principal with a surety bond.
Are There Different Types of Surety Bonds?
There are four different surety bonds. Contract bonds are used for those providing a service. Contractors and construction companies are covered under this bond. This guarantees that the work will be completed. A commercial bond is used for licensed companies. Companies must comply with all required codes and regulations. Businesses that work with money will take out a fidelity bond. This bond protects them from employee theft. A surety bond can also be used in court as well. It protects a person or company from a financial loss.
If you need surety or bail bonds Washington PA, there are options for you. You can find the right company to meet your bond needs.