Iowa Sav. & Loan Ass'n v. Curtis

• Decision Date: 03 February 1899
• Citation: 107 Iowa 504,78 N.W. 208
• Court: Iowa Supreme Court
• Parties: IOWA SAVINGS & LOAN ASS'N v. CURTIS.

107 Iowa 504

78 N.W. 208

IOWA SAVINGS & LOAN ASS'N

v.CURTIS.

Supreme Court of Iowa.

Feb. 3, 1899.

Appeal from district court, Cass county; N. W. Macey, Judge.

The plaintiff is a mutual loan association organized under the laws of Iowa. The defendant is a member of the association, and was prior to March 24, 1890, and owned 10 shares of its stock, of $100 per share. On that day she contracted a loan from the plaintiff of $600, and pledged as security therefor 6 of her 10 shares of stock, and also executed to plaintiff a mortgage on certain property in the city of Atlantic, as further security therefor. The note and mortgage refer to the articles of incorporation and by-laws of the association, and the following are provisions of the note: “I also hereby assign the said shares of stock above described, being certificate No. 878, as collateral security for the above debt, to the said Iowa Savings and Loan Association, and do hereby agree to pay to said Iowa Savings and Loan Association the monthly installment of three and 60/100 dollars, the same being equivalent to sixty cents per share, on the said shares described by me, and the monthly installment of three and 60/100 dollars, as premium on said advance, the same being equivalent to sixty cents per share, and interest upon said sum of six hundred dollars, in monthly payments of three dollars, the same being equivalent to fifty cents per share for the first year, and thereafter a monthly sum sufficient to pay the interest on the amount due at the beginning of each year, at the rate of six per cent. per annum, until the full amount of six shares shall have been paid, at the times, in the manner, and at the place required by the articles of incorporation and by-laws of said association. And, in case I fail to make any or all of said monthly payments, I further agree to pay all fines and penalties imposed by said association upon said stock, or each share of same; and, in case of a failure to make any or all of said payments for six months, the whole debt herein shall be due (the said association), and shall at once become collectible, without notice or demand from the said association, which sum shall be six hundred dollars, less the amount actually paid by me on the said stock upon the six shares herein assigned, together with the quarterly dividends placed to the credit of said shares, and in consideration of said advance payment, or upon failure to pay all of said monthly payments, as stated herein, and in accordance with the articles of incorporation and by-laws of the Iowa Savings and Loan Association, I agree to pay to the said association, at its office in Des Moines, Iowa, the sum as above ascertained, together with eight per cent. interest thereon per annum from the date of the first failure to pay said monthly dues to said association, together with all taxes, insurance, or assessments advanced upon the security herefor, and also a reasonable attorney's fee for foreclosing the mortgage given to secure this note or the collection of this debt.” It appears that there were 64 payments of dues, premiums, and interest; so that, of the dues paid, there were $230.40, of premiums $230.40, and of interest $192. The following is a paragraph of plaintiff's petition, changed to conform to some admissions as to amounts paid: “Par. 7. That the defendant has paid the six shares of stock subscribed for and assigned to this plaintiff to better secure said loan, the monthly payment of three and 60/100 dollars ($3.60) for sixty-four consecutive months, making a total payment of two hundred and thirty dollars and forty cents, out of which the plaintiff has deducted, as agreed by the by-laws, a copy of which is hereto attached, marked ‘Exhibit D,’ and made a part hereof, and expense money, which amounts to twenty-five and 20/100 dollars ($25.20), leaving a balance due to the defendant upon said stock of two hundred five and 20/100 dollars, upon which the defendant is entitled, according to the...