"Bail Bond Fairness Act” Bad for Bail Recovery Agents

It is very hard to "correctly" underwrite a large bond today.

First very few people have the full premium up front. So many, including us, will take 50% down and accept payments on the balance.

Second, most real property is worth less, sometimes half of what is owed on the mortgage. That is especially true in California.

Third, there are very few people with secure jobs.

So when a large bond comes along, federal or state, 1 or 2 of the above may not be that solid.

So what do you do? Either write that bond anyway and hope the defendant don't run. Or you pass on it.

If you write it, you may not be able to collect from the indemnitor if it goes bad because the house is worth less than the bond or worse yet, it goes into foreclosure. Now you in 2nd or 3rd position behind the banks.

I have 3 homes right now as collateral that are in forclosure. They were all solid 2 years ago. They all are worth less than half of what they were even a year ago.

No matter how much the surety companies want their agents to "correctly" write all bonds, it is just not going to happen. The majority of the time when we ask for collateral on even medium size bonds, the clients go to my competition that will do it without collateral.

Finally, lets say your scenario is right. It would only take 1 or 2 large bonds that have to be paid before a bail agent empties his or hers BUF account. It would take years to replace 10s or 100s of thousands of dollars. I for one don't want to wait 5 years or longer to get paid back from a indemnitor.

It just is not going to happen.

As long as there is bail, there will be recovery agents needed to find the skips. It is still the most cost effective way to recover skips.

Glad I was able to provide fodder for a good debate!

_________________
Scott H.

I am happy for the instigation of Mr. Harrell for this thought provoking discussion. I am most happy as it brings out the considered opinions of Bondsman, Insurance Company principles, and Bail Enforcement Agents, some wearing multiple hats.

Jeff Kirkpatrick is quite accomplished and very well known in this industry, his opinions are well thought out and equally well presented.

There are clearly different motivations, needs and goals of all concerned. I attempted to explain the arguments as I understand them, less emotions, with the thought process that supports them. That is why I also stated that I support the bill as it is written.

Jeff, to the point on PBUS' stated position on BEA's, was their position statement on Bail Enforcement on their own web page. Since I came up in this industry as a BEA, that is where my heart is and I was insulted by their position. Admittedly, I have not been on their website in quite some time, so it may not even be there anymore. I tried to understand the insurance companies position and received the explanation that I presented from Mike Whalen, VP, Bankers Surety Services, when Scott Harrell and I met with him at a TAPBA event we both presented at.

That said, I would sincerely like to see more posts from individuals such as Mr. Kirkpatrick, Dennis Sew (Lexington National Insurance Co.) and others that read and do not contribute, so that we might have an educated exchange of ideas and quite possibly form entirely new opinions on topics.

The health of our industry is paramount.

Scott

_________________
R.E. "Scott" MacLean III

"Leaders are like Eagles, you never see them in a flock, but one at a time"

Chesapeake Group Investigations, Inc.
Chesapeake Bail Bonds
877-574-0500
301-392-1100 (fax)
301-392-1900 (Office)

Personally, I am glad to see Mr. Harrell finally becoming more than a "lurker" on this site and hope to see him as more of a participant.

All of us have opinions that others may agree or disagree with, but a lively discussion voicing opinions and points based on personal experiences gives us all something to consider and research, thus bringing forth even more experiences to consider and base opinions on.

_________________
Kathy Blackshear
Blackshear Investigations
Blackshear Bail Bonds
Sales Associate, Prepaid Legal Services, Inc.
Walsenburg, CO

Proud Member of the AB Reject Club

Yes, I am guilty of checking in on the FRN forum every once in a while but those that know me well also know that it's tough for me to find extra time in my day to keep up with all of the conversations going on here and elsewhere.

I will try to do a better job at being involved.

_________________
Scott H.

Now all the Scott's are here, participating. Now I know I can't go wrong.....

_________________
********************
Thomas SnoWolf
FRN# 1999
GAPB 20120726
NSIS ST0707
http://www.rocksolidrg.com
"The hero is not the man that acts without fear,
He is the man that acts inspite of fear"

_________________
Heritage and Profession Together

J.G. Marshall
MARSHALL FUGITIVE SERVICE
Lic. # 2008-392
Moderator


Its the Irish in my mind that keeps me sane,
and the Irish in my heart that keeps me strong.

Well, Scott... I've never met you, however, you may have noticed that I am not particularly shy.... and I don't mind giving advise.... even to someone obviously as accomplished as yourself.... all you have to do is retire... move to a small southern town.... start writing tighter, turn down business if it doesn't meet your standards (mine are extremely high and tight) buy a boat and/or a camper.... live next to a large lake... and have 5 children that are in the business... then you can sit at home, unless you choose to go somewhere... drink Mexican beer, sit around the pool with your laptop and read the stories on this and other BEA/PI/BB/LE.... type sites. I tend to post a lot of stories on here myself... and some of them are actually true!

Take care and I enjoy reading your posts...

_________________
Bill Marx, Sr.
"FREE STATE BAIL BONDS"
"FREE STATE INVESTIGATIONS"
DCJS: 99-176979
Cell: 434-294-0222

"Endeavor to Persevere" "Lone Watie"

"Good judgment comes from experience, and a lot of that , comes from bad judgment" "Will Rogers"

Great advise, Bill.

Retire- Not even on the horizon.
Move to a small Southern town- Check!
Writing- Check!
Turn down business- Check!
Buy a boat or camper- Check! (Sailboat)
Live next to a large lake- Does the Gulf of Mexico count a s a large lake?
Have 5 children in the business- I only have one at least 17 years and 6 months away.

Sounds like I have some work to do.

_________________
Scott H.

Yes, the gulf qualifies, in fact, I will be south of Tampa in Feb. for about 6 weeks.... Ft. DeSota...

and... judging from all the stuff you obviously have going on, I'd say you already have plenty of 'work' to do.... thanks for taking the time to respond to my ramblings.......... I obviously have a lot more free time than you.......... just don't lose sight of your goals.... and read what I said in the "Bucket List" post... that's my overall take on life....

See ya.............

_________________
Bill Marx, Sr.
"FREE STATE BAIL BONDS"
"FREE STATE INVESTIGATIONS"
DCJS: 99-176979
Cell: 434-294-0222

"Endeavor to Persevere" "Lone Watie"

"Good judgment comes from experience, and a lot of that , comes from bad judgment" "Will Rogers"