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Why California SB 562 Will Hurt Defendants and Bail Bond Businesses

California Senate Bill 562 (SB 562) may appear on the surface to protect defendants, but in reality, it threatens to destabilize the bail bonds industry, delay pretrial release, and increase the financial burden on both defendants and taxpayers. At Future Bail Bonds, we believe in fair reform — but SB 562 goes too far in the wrong direction.

What Is SB 562?

SB 562 proposes that bail bond companies must refund bail premiums if charges are not filed, retaining only 10% of the premium plus court fees. While the goal may be to prevent financial loss for defendants, this bill overlooks the non-refundable operating costs that make the bail process function.

How SB 562 Harms Small Bail Bond Businesses

Bail agencies like Future Bail Bonds already operate on narrow profit margins. SB 562 would force them to issue refunds while still paying for:

  • Non-refundable surety fees to underwriters (~2% of bail amount)
  • Credit card processing fees
  • Employee wages and payroll taxes
  • Office rent, utilities, and insurance
  • State licensing fees and continuing education

If only 10% of the premium is retained, bail companies will lose money on many cases — an unsustainable model for any small business.

Delayed Release: Defendants Will Stay in Jail Longer

To avoid financial risk, many bail companies will wait to post bail until after charges are filed — usually at arraignment. This could leave defendants in jail 3–5 days longer than under current practices.

These delays result in serious real-world consequences:

  • Missed work and potential job loss
  • Increased vehicle impound and court-related fees
  • Emotional and mental health strain
  • Overcrowded jails and higher taxpayer costs

The Unintended Cost: Paying Twice for the Same Case

In many cases, charges are filed after arraignment. Currently, bail companies often re-post bonds at no extra cost. Under SB 562, companies would need to charge a second premium, meaning defendants could pay twice for the same case — the exact outcome this bill claims to avoid.

Fewer Bail Options, Higher Prices for All

To survive the financial risk created by SB 562, bail bond companies would be forced to:

  • Raise rates across the board
  • Become more selective with clients
  • Reduce availability and service coverage

This doesn’t protect defendants — it pushes them further into hardship.

Public Safety Concerns and Legal Loopholes

SB 562 also opens the door to manipulation:

  • Prosecutors may delay charges intentionally to trigger refunds
  • Defense attorneys may use procedural tactics to reclaim bail
  • Court systems will be overwhelmed with refund hearings

Meanwhile, government-run pretrial programs, which often have higher failure-to-appear rates, will be forced to take on more cases — at taxpayer expense.

Conclusion: Say No to SB 562

At Future Bail Bonds, we believe in a justice system that works — one that balances accountability, fairness, and access to pretrial freedom. SB 562 undermines all of these goals. It will:

  • Force small bail agencies out of business
  • Keep defendants in jail longer
  • Double costs for some clients
  • Increase burdens on taxpayers
  • Make bail more expensive and less available

If lawmakers truly want to reform bail, they should work with industry professionals and community leaders to design solutions that help people — not hurt them.

Have questions about bail in California? Contact Future Bail Bonds — available 24/7 to help you understand your options.