Peddicord v. Connard

Citations

• 85 Ill. 102

Syllabus

<p>1. Usury—what constitutes. If an usurious contract is made, whethei express or implied, at the time of or subsequent to the entering into of the agreement, to take or reserve more than lawful interest, it is such an agreement as falls within the prohibition of our statute.</p> <p>2. If, where a party overdraws his account with a bank, the bank, at the end of each sixty days, compounds the interest on the sums overdrawn, so as to make it the same as in discounting a loan, and the same is included in a note, the transaction will be tainted -with usury, which may be set up in defense to a suit on the note, and no interest will be allowed on the sums overdrawn, either on the account or the note.</p> <p>3. Same—after settlement and payment, pa/rty can not recover bach. Where a party having an account in bank, which he overdraws from time to time, makes a settlement with the bank by having his bank book written up and his checks surrendered, and he paying the charges made against him, he can not, after a considerable lapse of time, open such settlement to recover unlawful interest charged to him on the sums overdrawn.</p>