Gwinn v. Iron Belt Building & Loan Ass'n

McDOWEEE, District Judge.

It has long been a settled rule of equity that, where a borrower at a usurious rate of interest asks relief, he is made to do equity by paying the principal of the debt and legal interest. It is only following this rule to allow a borrowing stockholder in a building and loan association, who has paid usurious interest in the form of premiums, to have credit, on a settlement with an association that has broken down, for all such premiums paid by him. The contract here between the association, which is a Virginia corporation, and its borrowing members, however, has been…