When you’re faced with a situation where you or someone you care about has been arrested, one of the hardest things to deal with is the question of how to secure a release from jail. While bail is always in option in most cases, the reality is that most people simply don’t have enough money on hand to pay the staggering amounts that are associated with offenses, even if they’re minor. Even if there are funds available to deal with bail costs, some people have shared concerns about how paying for bail could ultimately impact their credit history. At ABC Bail Bonds, our team has been working with individuals across South Texas and in Houston for years as they deal with the challenges of getting arrested and posting bail.

As a respected provider of bail bonds within various communities, we decided to take a little time today to address the important topic of how bail bonds can impact credit scores. While bail can be categorized as a “monetary lending action” for the purposes of credit reporting, the good news is that there will not be a noticeable negative impact on your credit score in most cases.

The Role of Bail Bond Agencies

When dealing with the challenge of paying off bail, the first thing most people will probably do is check their credit cards or other expense accounts to see if they have such a high amount available. If there’s simply not enough available, whether it’s in an account or a limit on a credit card, then the next decision many people will make is to turn to a bail agency. This is where the impact on credit reports can happen most often.

Because people try to use a credit card to pay off a bail amount, they will then have to deal with high interest rates, a higher debt to income ratio, and worst of all, a large bill that will need to be paid off as quickly as possible. On the other hand, working with a professional bail bond agency can reduce the total amount that is needed, while also providing access to a professional bail bondsman who can handle paperwork, and make sure that the entire release process is handled as quickly as possible! 

So… Can Bail Impact Credit?

The answer to the question ultimately depends on your available funds when seeking to cover the cost of bail, or when working with a bail bond agency. If you have the amount needed already available, then it will not immediately impact your credit, although there could be some challenges down the road depending on how much you need to pay off. On the other hand, if you need to take out additional money, or establish a loan quickly to secure funds, then these actions could indirectly have an impact on your credit score.

If you’re using a credit card, for example, then the money needed will likely be treated as a cash advance form the card, and depending on the specific limitations of your credit card, could be even more challenging to pay off than a typical loan or general charge on your card. This means that while paying bail is not immediately harmful to your credit, there are some circumstances where putting together the money you need for the fees could lead to a blow on your credit score, although that shift should be relatively minor overall.

Another important thing to consider is whether or not you’re going to be able to handle the increased payments on your credit account going forward if you’re paying with a card or through some other type of loan. While you can secure the funds in the short term, the increased payment amounts could be challenging to pay off if you’re not careful during the planning process.

ABC Bail Bonds in Houston, TX is Your Best Choice!

Instead of taking out a loan or putting the total amount of bail on your credit card, your best option is to work with a bail bonds agency so you can cover the cost of bail for a much smaller fee overall. In addition to reduced costs, in the long run, you can also take advantage of the knowledge and experience of our experienced bail bond agents at ABC Bail Bonds so you can handle the process of bail faster, and with less frustration. Call us today if you need a way out!