Cramer v. Southern Ohio Loan & Trust Co.

Citations

• 72 Ohio St. (N.S.) 395

Syllabus

<p>Power of building and loan associations — To assess and collect from, members dues, fines, interest, etc. — Under section 8886-3, Revised Statutes — Said section a valid enactment — Section 26 of article 2 and section 2 of article 1 of Ohio constitution— Dues, fines, premiums, etc., not deemed usurp — Question of competitive bidding in securing loans.</p> <p>1. Section 3836-3, Revised Statutes, which confers power on building and loan associations “to assess and collect from members and depositors, such dues, fines, interest and premium on loans made, or other assessments as may be provided for in the constitution and by-laws,” — and which further provides, that “such dues, fines, premiums or other assessments, shall not be deemed usury, although in excess of the legal rate of interest,” — is a valid enactment, and is not in conflict with section 26 of article 2, nor with section 2 of article 1 of the constitution of Ohio.</p> <p>2. Under the provisions of said statute, the premium for a loan, if reasonable in amount, need not be ascertained by competitive bidding for precedence in obtaining the loan, but it may be fixed at a uniform rate by the constitution and by-laws of the association.</p>