600 collection points around Spain
What do we want?
When faced with foreclosure, people may settle their debt by
relinquishing their home, and be able to begin anew. The solution proposed in the present Popular Legislative
Initiative is to make retroactive dations in payment the preferred method of
resolving the conflict. In cases where the good is the main residence, its
adjudication by the financial institution will pay off the debt, by completely
relinquishing the residence with all interests and costs. The settlement of a
debt through the law will entail the settlement of any security or collateral.
How can this be achieved?
A Popular Legislative Initiative (Iniciativa Legislativa Popular, ILP) which proposes an amendment to
the mortgage law will be presented before the Congress of Deputies. To do this,
over 500,000 signatures must be collected before 25 January 2013 throughout the
What exactly does the ILP propose?
- Retroactive dation in payment
dation in payment refers to the relinquishing of a residence to the financial
institution to which a mortgage is owed in exchange for being relieved from all
debt with that financial institution.
- Cessation of evictions
primary residences when mortgage payment default is due to reasons beyond the lack
of debtors’ will to make payments.
- Social Rental Housing
debtor maintains the right to continue living in their residence, paying rent
of no more than 30% of their monthly income during a period of 5 years.
For more information in Spanish on the ILP, please visit their website: www.quenotehipotequenlavida.org.
If you would like more information in English, please contact the HIC General Secretariat at firstname.lastname@example.org.