Brockschmidt v. Hagebusch

Citations

• 72 Ill. 562

Syllabus

<p>Mortgage—effect of subsequent agreement as to application of payments. A husband and wife executed a mortgage upon their homestead to secure an indebtedness of the husband, and the wife released her dower and homestead. A portion of the debt was subsequently paid, and the amount indorsed on the note. Afterwards, the husband, by an arrangement with the mortgagee, agreed that the payment made on the mortgage debt should be applied on another indebtedness, and the note with the credit on it was given up, and another note, of same date and amount, executed and delivered, with the agreement that the mortgage should stand as security for it: Seld, that, on a bill to foreclose, the wife was entitled to have the amount of the payments credited on the mortgage debt, and that, as against her, the mortgage could only be foreclosed for the balance due after deducting the pay, ments, but that, as against the husband, the complainant was entitled to foreclose for the whole amount of the original debt in accordance with the last agreement.</p>