Floating mortgage: selection of guaranteed credits.

Abstract

The fundamental characteristic of the denominate in Spain Mortgage «floating» is the existence of a clear separation between credits and mortgage. On the one side there is the mortgage; the other a mass of credits, only generically identified, aspiring to join it. While this integration does not occur credits can be negotiated, executed or paid «outside», that is, without those acts impacting the mortgage remains «impassive» as we reasoned resolution of the Directorate General of Registries and Notaries 21 of march of 1917, analyzing with remarkable rigor essential notes. The creditor, in a first phase, only has a store of value as concrete insures mortgage loans that are not yet identified. Only in a secondphase, when whatever reason, the mortgage must be executed, it shall determine which of the generally insured will be guaranteed. The foreclosure in Spanish law always occurs because of certain specific loans which, as a step necessarily, requires prior determination. In this study the problems the transformation process has to suffer the floating mortgage before becoming executive and therefore to its owner to bring the foreclosure action, especially when one want to avail of the special proce dure, are analyzed.