“Debt Sentence: How Fines and Fees Hurt Working Families”

The title of this post is the title of this new report from the the Wilson Center for Science and Justice and the Fines and Fees Justice Center. Here is the report’s executive summary:

Food, healthcare, and shelter are essential for basic survival.  Beyond mere survival, we all have other fundamental needs, such as employment, access to transportation, or education.  No one would choose to forgo any of these necessities, unless there was a greater danger threatening their well-being.  For millions of families across the United States, court fines and fees threaten these basic building blocks of survival and stability.

Across the United States, courts impose fines as a punishment for minor traffic infractions, municipal code violations, misdemeanors, and felonies.  State and local governments then tax people with fees, surcharges, and other costs used to fund the justice system and other government services.  The entire fee system is designed for one purpose: raising revenue for governments.

We know the impact of court fines and fees is not just limited to those families living in or close to poverty; it is felt by working families across economic, racial, and political demographic groups. Court-related debt can often be in the hundreds — if not thousands or even tens of thousands — of dollars, which makes paying it off a struggle for many.  The Federal Reserve Board found that nearly one in four adults in the United States were just one unexpected $400 bill away from severe financial hardship (U.S. Fed. Reserve, 2022).  A report by the lending industry also found that in 2022 “[t]he share of those earning less than $50,000 who live paycheck to paycheck rose to 82%” (PYMNTS.com & Lending Club, 2022).

Despite the breadth of data showing how much U.S. families are struggling financially, there has been a lack of consistent and reliable data on the impact of monetary sanctions on those same families.  This study is the first to present a comprehensive, national overview of how court-imposed fines and fees are affecting people across the country.  Using data from a nationally representative survey, we examine the impacts of court-imposed debt on peoples’ daily lives.

Our findings reveal a disturbing trend unfolding among working families impacted by fines and fees: money needed for necessities like food, housing, and healthcare is often being redirected to pay off court debt.  Advocates for fines and fees reform have collected thousands of stories of families sacrificing basic necessities for fear of being jailed and arrested on account of outstanding court debt.  But for the first time, with this survey, we have national data documenting the extent to which fines and fees are destabilizing families and jeopardizing their ability to access the building blocks that support survival, stability, and a chance at success.