There’re several types of commercial figures for the rent or buy movable properties in Costa Rica, in other words, those which can be moved from one place to another: Vehicles, machinery, aircrafts, technological equipment, ships, etc.

In this article of our blog we’ll explain you the three most used options, which are the pledges, the leasingand the renting.

Pledges: a guarantee over the rent or buy movable properties

The pledge is an accessorial agreement of the main one, which in this case would be the credit on a rent or buy movable properties. It is called accessorial because it extinguishes when the person cancels its entirety.

When a credit is granted, the pledge is established as a warranty for the payment. This means that if the person does not cancel his/her credit obligations, the creditor has the option to execute the warranty, presenting a complaint before a Collection Court.

Once the complaint has been filed, the creditor ensures the recovery of the granted credit, by the seizure and auction of the movable property.

Leasing: the cancellation of monthly payments in exchange for the rent of the movable property

The leasing or rental is suitable in cases where an individual or a company does not have enough capital to own a movable property.

To carry out the leasing, the monthly payments previously agreed between the creditor and the lessee (client) must be cancelled. The payments will be equivalent, by the end of the contract period, to the total value of the movable property.

When the contract comes to an end, the lessee can walk out with the movable property or return it.

Renting: a great choice for your company to have vehicles

We can summarize the renting as a rental service designed to provide companies with a fleet of new or almost new vehicles, appropriate to the needs of their business.

The renting is established with a rental or automotive company, which will supply clients with vehicles and will be responsible for:

• Marchamos (circulation permits)
• Periodic maintenance of the units
• Taking the fleet to technical reviews
• The respective insurance
• To have vehicles available in case of accidents or repairs

The vehicles renting service is usually hired for more than a year and the client needs to pay a security deposit. In this case, the monthly payment to be canceled by the clients depends on the types of cars they rent, the insurance plan and the extension of the contract.

Do not forget that the characteristics of the pledge, leasing and renting are subject to the bank or the rental company you want to negotiate with. Take legal advice in real estate and other issues at ERP Lawyers today.