C. T. Stedman v. Georgetown Savings and Loan Association

Summary

The Texas Supreme Court affirmed the lower courts, holding that the 10% per annum charge paid by Stedman before loan disbursement was a bona fide commitment fee, not usurious interest, because the evidence supported the trial court's findings. The Court emphasized that labels are not controlling and that a fee for a future loan commitment falls outside the statutory definition of interest.