According to the legal provisions, notwithstanding the Civil Code, the consumer has the right to have his debt with all accessories, cleared at no extra cost, by giving in payment the mortgaged property in favor of the creditor, if the parties to the credit agreement do not reach any agreement.

To benefit from the settlement of such debt and accessories by giving in payment, the following conditions must be met: the creditor and the consumer to be part of the categories mentioned in the law; between the parties to have concluded a loan agreement whose value at the time of signing the agreement did not exceed 150,000, secured by mortgage on immovable property for housing; the immovable property given in payment is a property mortgaged in favor of the creditor in order to guarantee the execution of the obligations under the credit contract.

If the performance of obligations under the credit agreement was secured with two or more properties, in order for the procedure stipulated by law to be applicable, the debtor will give in payment all the mortgaged assets in favor of the creditor.

In order to implement this procedure, the debtor will notify the creditor through a bailiff, lawyer or notary public, and inform him of the decision of transfer of right of ownership of real estate in order to extinguish the debt and send the time intervals in which to be present at the notary in order to sign the document of transferring the property, through which it is extinguish the debt of the debtor.

The first day of convener at the notary public can not be established in a shorter period of 30 days off, during which period is suspended any payment to the creditor, and any judicial or extrajudicial procedure initiated by the creditor or any person who acquired the rights from it directed against the consumer or his property.

From receipt of the notification it shall be suspend the creditor’s right to sue the co-debtor and personal guarantor or mortgage guarantor.

Within 10 days from the date of submission of the notification, the creditor can challenge the requirements for admissibility of the procedure regulated by law. The application is judged with emergency within 30 days from registration, summoning the parties. Appeal against the decision may be declared within 15 days from delivery.

If the creditor does not comply with the provisions of law, the debtor may request the court to pronounce a judgment by which to settle the obligations arising from the mortgage contracts and transfer the ownership to the creditor.

Currently, the legislative proposal is not yet applicable. To enter into force shall be reviewed and adopted by the Chamber of Deputies, enacted by presidential decree and published in the Official Gazette.