Payment in kind (dación en pago)
It's the agreement by which a debtor settles a debt by handing over an asset, whether real estate, a vehicle or something else, instead of paying cash, and the creditor accepts it. Ownership of the asset is transferred and the debt is extinguished. It requires the creditor's consent and is authenticated before a notary.
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- You tell us about your case. It's free.
- We send you the price in writing, within 1 to 3 hours.
- You decide. If it works for you, we start. If not, you delete it with one click and pay nothing.
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Is it for you?
If any of these sounds like you, this procedure is for you.
- For debtors who want to settle a debt by handing over an asset instead of money, and for creditors who agree to take an asset as payment. It applies between companies, between individuals and in debt negotiations
- We advise you based on the type of asset and debt
What's included and what isn't
Everything clear from the start. No fine print.
Includes
- Review of the debt and of the paperwork for the asset being handed over.
- Drafting of the payment in kind, making clear the debt settled, the asset transferred and the creditor's acceptance.
- Scheduling the appointment at the Notaría Pública (government notary office).
- Support during the notarial authentication of the signatures.
Does not include
- The later recording of the asset, meaning its recording at the Registro Inmobiliario if it's real estate or the transfer at the INTT if it's a vehicle, which are later steps we also handle.
- The appraisal of the asset.
- The official notary fee or the official registry fees, which are paid separately.
Add to your procedure
Check it and we include it in your quote. You decide at the end.
What you need
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You have 0 of 5.
- Identification of the debt being settled, with its supporting documents
- The debtor's and creditor's details, ID (cédula) or tax ID (RIF)
- Identification and the title document of the asset being handed over
- And the agreed value of the asset
- Debtor and creditor sign in person before the notary, and the creditor must state that they accept
How the process works
You do very little. We take care of the rest. The whole process: on average, 2 to 4 business days.
- Step 1
You give us the debt
You give us the details of the debt, the asset and the parties.
You do this - Step 2
We draft
We prepare the payment in kind, making clear that the debt is extinguished when the asset is handed over.
We do this - Step 3
You sign
We schedule the appointment, confirm the cost, and debtor and creditor sign before the notary.
You do this - Result
Done
We hand you the document and, if applicable, handle the recording of the asset.
You receive it
For the notarially authenticated document, we draft it, the parties review it and it's signed before the notary (a public official). If the asset is real estate, the later recording at the registry takes its own time.
What it costs and how to pay
There are two separate payments, and we want you to see them clearly.
Our fee: we do all the work for you.
The official notary fee. It goes straight to the agency, and we give you the exact amount, with its receipt, before you pay anything.
How you pay: You pay once, when we start. In dollars, in bolívares at the official BCV exchange rate, or with Cashea.
How is your investment calculated?
Your investment has two parts, and we break them down for you separately. Our base professional fee, from $65, for drafting the payment in kind and handling its authentication; if the case requires a later recording of the asset, we quote that separately
The official notary fee, which varies by number of pages, and the Registro Inmobiliario's official registry fees if the asset is real estate, or the INTT's fees if it's a vehicle. Official amounts are paid in bolívares at the official exchange rate of the BCV (Central Bank of Venezuela) Your lawyer gives you the exact figure before you pay anything, no strings attached.
FAQ
What happens if I hand over the asset without documenting the payment in kind?
The creditor may take the asset and still keep claiming the debt from you, because nothing in writing says it was settled. The document is what extinguishes the debt.
Does the creditor have to accept the asset?
No; payment in kind requires their consent, and no one has to take an asset instead of their money.
How much does it cost?
The professional fee, from $65, covers the drafting and support at the signing; the official notary fee, and the registration if the asset requires it, are separate.
Does it work for any asset?
Yes, real estate, vehicles or others; if it's real estate or a vehicle, it has to be registered afterward, and we handle that.
Do both parties have to sign?
Yes, creditor and debtor, in person.
About this procedure
Payment in kind is a very useful tool when a debt is hard to pay in cash: instead of money, the debtor hands over an asset, which can be real estate, a vehicle, machinery or anything else of value, and with that handover the debt is settled. It's an agreement between two parties, so its essential condition is the creditor's consent: no one is required to take an asset instead of their money; they have to accept it. The document must make three things crystal clear: which debt is being paid, which asset is handed over in exchange, with its description and value, and that the creditor considers the debt extinguished by that handover, so it can't be claimed later. Legally, the dación works like a sale for purposes of transferring the asset: if it's a vehicle, it's then registered with the INTT (land transport authority: vehicles and driver's licenses); if it's real estate, it's recorded at the Registro Inmobiliario (Real Estate Registry). With an advisor's eye, we draft the dación making sure the debt is truly extinguished and the transfer of the asset is valid, two sides that both have to close properly. It's common between companies settling accounts, between individuals, and in negotiations with banks; we advise you based on your case. The parties sign in person before the notary.
Legal framework and important notes
Ley de Registros y Notarías (Registries and Notaries Law) · Código Civil (Civil Code)
- Payment in kind has two sides that must both close properly. On one hand it extinguishes the debt, on the other it transfers an asset; if the document neglects either one, loose ends remain, for example a debt the creditor claims after having received the asset
- That's why we draft it carefully and advise you
- Remember that the creditor must accept
- And if the asset is real estate or a vehicle, there's a later registration step
We guarantee our service, not what the agency decides. If something depends on them, we tell you clearly and in time.
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