Citizens' National Bank v. Donnell - 195 U.S. 369 (1904)

U.S. Supreme Court

Citizens' National Bank v. Donnell, 195 U.S. 369 (1904)

Citizens' National Bank of Kansas City v. Donnell

No. 36

Argued November 1, 1904

Decided November 28, 1904

195 U.S. 369

Syllabus

Under §§ 5197, 5198, U.S.Rev.Stat., a national bank which compounds interest in a manner prohibited by the state forfeits all interest even though the total interest amounts to less than the maximum rate permitted by the state.

A national bank, met in an action by the plea of usury, may not avoid the forfeiture of all interest by then declaring an election to remit the excessive interest.

The facts are stated in the opinion.

Page 195 U. S. 372