Despite opposition from the grieving family of Melbourne grandfather Sedat Hassan, the woman accused of killing him has been freed on bail.

It's alleged Fagan, 22, was doing at least 78km/h in a 50km/h zone when she smashed into Mr Hassan's car in Sunshine West on June 9 this year.

She denies being the driver, but DNA on the driver's airbag is a match to her with a probability of one to 100 billion, magistrate John Hardy was told.

The charge of dangerous driving causing death is the 14th matter Fagan currently has before the courts. She was on four counts of bail at the time of the crash.

Charges include driving while suspended, speeding up to 150km/h and being pursued by police, Detective Senior Constable Jason Barry-Bassett said.

During one incident it's alleged Fagan drove over police speed sticks and continued with one tyre detached from the wheel rim.

With that alleged history it was "almost inevitable" something tragic would occur, Mr Hardy said.

"The real worry I had, and have, is that she has some kind of psychological addiction to driving cars, even when she knows she shouldn't be," he said.

Fagan has been held in custody at Melbourne's women's prison, the Dame Phyllis Frost Centre, since June.

She wore a rosary around her neck and cried heavily throughout the bail application on Wednesday morning.

Members of Mr Hassan's family also watched the hearing by videolink.

Their primary concern is that what happened to their father and grandfather will happen to someone else, prosecutor Daniel White said.

"As Your Honour has already indicated, this was inevitable," he said.

"There's an abundance of evidence in this case that she will (drive) again and if she does it again the consequences could be catastrophic."

Fagan's lawyer Alexandra McClure noted Fagan hadn't entered a plea and was entitled to the presumption of innocence.

A space was immediately available at a youth rehabilitation centre where she could receive treatment for mental health issues, alcohol abuse and impulse control issues, the court heard.

"The only way she could jump into a car would be to steal a car," the facility's intake manager said.

Indigenous elders will provide cultural education at the facility, which also allows patients to go on supervised bushwalks, to the movies and to a gym, spa and sauna.

Mr Hardy agreed to release Fagan on bail to the facility, warning he wouldn't tolerate the contempt she had shown four other police and magistrates who granted her freedom.

Fagan said she would comply. "I will prove it to you," she said.

Mr Hardy said Fagan should prove it to herself.

Australian Associated Press