Baltimorecitizen

Negotiate for the freezing or suspension of loan payments. Some banks will grant this tough concession if they have enough security and the suspension is only for a limited period. You enter a form of “creative financing” by crafting a dation of payment (dacion en pago) plan with your lender in an effort to stop repossession. Dation in payment is a special form of payment in whichproperty is alienated by the debtor to the creditor in satisfaction of a monetary debt (Article 1245, Civil Code). It is the transmission of the ownership of the thing by the borrower to the lender as an accepted equivalent of the performance of an obligation (8 Manresa 616)
The law on sales governs dation in payment. Thus, if a person is indebted to another for P50,000 and such debt is already due and demand able, if subsequently, the two will enter into an agreement by virtue of which the debtor shall deliver his automobile to the creditor as the equivalent of the performance of the obligation, although what actually takes place here is an objective novation of the obligation, under the law, the automobile is considered the object of a contract of sale, while the debt of P50, 000 is considered the purchase price Uurado, supra). Paras cites another example of dation in payment, thus: to pay my debt of P1,000 in favor of Bella, I gave her with her consent a diamond ring instead worth P1,000 (IV Paras, supra). The property given may consist not only of a thing, but also of a real right (such as a usufruct) or of a credit against a third person.
Thus, it has been held that the assignment to the creditor of the interest of the debtor in an inheritance in payment of his debt is valid and extinguishes the debt. To pay off his debt, an heir assied his inheritance in an estate to his creditor. If the dation in payment plan is rejected, you must get partners who are awash with cash, rich entities that are interested in more tax shelters and long-term investment returns. Your package should include giving the investors more than 50% (if not all) of the tax benefits and savings and their money will be protected by a legal shelter (a limited partnershipi a trust or a corporation). The new investors will be the limited partners and should be asked to pay for the negative cash flow. In return for this concession, they will get 30% or more (proportionate to their investment) of the proceeds when the property is sold.