Freeman v. Hawthorn Bank

Laurie Freeman and Martin Reid (collectively, “Appellants”) appeal from the judgment in favor of Hawthorn Bank (“Hawthorn”) on their class action petition alleging that Hawthorn’s automated debit card overdraft program violates Missouri’s usury law. Appellants contend the circuit court erred in holding that Hawthorn’s debit card overdraft fee is a statutorily-permitted service charge imposed on a deposit account and, therefore, is not subject to the state’s usury law. For reasons explained herein, we affirm.

Factual and Procedural History

Hawthorn is a Missouri-chartered bank and member of the…