Problem — The debtor owes his creditor several debts, all of them due, to wit: (1) an unsecured debt;

(2) a debt secured with a mortgage of the debtor’s property;

(1) a debt bearing interest; (4) a debt in which the debtor is solidarily liable with another.
Partial payment was made by the debtor. Assuming that the debtor had not specified the debts to which
the payment should be applied and, on the other hand, the creditor had not specified in the receipt he
issued the application of payment, state the order in which the payment should be applied and your
reasons therefore. (1982 Bar Problem)
Answer — In this case, according to the Civil Code, the debt, which is most onerous to the debtor,
among those due, shall be deemed satisfied.
Analyzing the four debts stated in the problem, the most onerous is No. 4, the second most onerous is
No. 2, the third most onerous is No. 3, and the least onerous is No. 1. Consequently, the payment
should be applied in that order.