Concept in Definition ABC

Swap is understood to be the contract or legal action by which the passing of the power that a person may have about a certain object or service towards another about which another person has can.

Exchange of goods between two people in which they exchange possessions

The notion of swap applies almost exclusively (but not excluding) to refer to real estate transactions and operations and that is why, as such, the contract swap has a system of rules, languages ​​and pre-established modes to be followed by those who take it to cape.

In other words, the swap is the exchange of goods or possessions between one person and another; it is the passage of the same between two people, institutions or entities.

Applications

An example of an act of exchange would be the change of owners of a Department: whoever happens to own it delivers a property of the same quality or value to the one who gets rid of the first. In some cases, in order to equalize the difference in level or cost between one good and another, the barter action may tolerate that the exchange and the remaining value in money is completed, but as long as it does not exceed the total value of the object interchanged. For example, when a trade is made between a person who owns a house of one million dollars and one of eight hundred thousand dollars, you can complete what is missing (two hundred thousand dollars) in cash.

Normally, swap contracts establish that both contracting parties must undertake to deliver the properties or assets, as well as to declare the debts and pay the remainder so as not to make the future owner of the same responsible, and finally pay and solve the tax and operating expenses that such actions they suppose. The exchange always supposes an act of common agreement or mutual consent between the parties.

An ancient activity

Traditional and historical, the swap, has been the method exchange used by the most primitive human beings, then, with the advent of money, the question would become more sophisticated, but we must say that in ancient times the exchange was a very common action among people.

When the concept of money as we know it had not yet developed, merchants carried out their activity through the barter, an individual gave to another what he needed and at the same time the first received as payment something that he did lack.

In this way, an artisan gave to whoever produced food Those elements that he manufactured and the producer paid him with the food that he needed.

With the to run over time, this type of exchange began to show complications because in some cases there were substantial differences in value or of characteristics of the products that were exchanged, then, money was created to correct these problems and balance things.

So people put bartering aside and chose to place a value on their products or goods and wait for a buyer to pay for them. Then the money received would be used to buy other goods.

Now, we must emphasize that the swap never disappeared, the leading role that it knew how to play in the past did run more remote but it did not abandon us in the least and for example today it is possible to appreciate it in this globalized and so advanced world ...

In contexts of economic crisis, the swap tends to revive and becomes the main means of exchange of necessary goods and services between people.

On the other hand, in the world of antiques, barter is also common. He who has a certain object that he knows is valuable, can exchange it for another, usually for an improved model or simile, or for something else that he is needing.