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The principle of ultra vires is applied with greater firmness to banks than to other corporations. > Birdsell Mfg. Co. v. Anderson, W.D.Ky.1937, 20 F.Supp. 571, affirmed > 104 F.2d 340.

Subdivision 7 of this section contains five distinct grants of power, and no one grant is a limitation upon the others. Shoemaker v. National Mechanics' Bank, C.C.Md.1869, 21 F.Cas. 1331, No. 12801. See, also, > Cleveland v. Shoeman, 1883, 40 Ohio St. 176.

Such powers are not the incidental powers given generally to all bank institutions, but are only those incidental to banks allowed to do such things as are prescribed by this chapter. Seligman v. Charlottesville Nat Bank, C.C.W.D.Va.1879, 21 F.Cas. 1036, No. 12642.
To authorize the exercise of powers by a national bank as incidental to those given, it must appear that they are clearly within the scope and purview of the purpose for which the corporation was created, and that their exercise was a necessary incident to the proper exercise of the corporation's existence or functions. > State ex rel. Barrett v. First Nat. Bank, Mo.1923, 249 S.W. 619, 297 Mo. 397, affirmed > 44 S.Ct. 213, 263 U.S. 640, 68 L.Ed. 486.

> 46. Borrowing money

National banks have power to borrow money and pledge assets to secure a loan, but lack power to pledge assets to secure a private deposit or to secure both a loan and private deposit. > Third Nat Bank & Trust Co of Scranton v. McMahon, M.D.Pa.1937, 17 F.Supp. 869.

Failure of party making loan to national bank on ultra vires contract to return performance received from bank did not prevent his recovery of loan, where performance rendered by bank had become worthless before lender learned of right to avoid contract. > Clark v. Boston-Continental Nat. Bank, D.C.Mass.1934, 9 F.Supp. 81.

A bank in certain circumstances may become a temporary borrower of money; Yet such transactions would be so much out of the course of ordinary and legitimate banking as to require those making the loan to see to it that the officer or agent acting for the bank, has special authority to borrow money. > National Shawmut Bank of Boston v. Citizens' Nat. Bank of Boston, Mass.1934, 191 N.E. 647, 287 Mass. 329.

Where a bank receives the proceeds of a loan on a note signed by its officers, all parties understanding the nature of the transaction, the note constituted a legal obligation of the bank. > First Nat. Bank of Skiatook v. Liberty Nat. Bank of Tulsa, Okla.1924, 229 P. 258, 100 Okla. 221.

> 47. By-laws--Generally

Bank has right to incur liabilities in the regular course of its business, as well as to become the creditor of others. > Western Nat. Bank of New York v. Armstrong, U.S.Ohio 1894, 14 S.Ct. 572, 152 U.S. 346, 38 L.Ed. 470.

Bylaws of national bank are law of bank so long as they are not inconsistent with or prohibited by federal law, and it is not necessary that federal law specifically and expressly permit a bylaw. > McKee & Co. v. First Nat. Bank of San Diego, S.D.Cal.1967, 265 F.Supp. 1, affirmed > 397 F.2d 248.

There are many things done daily in every bank which are in fact and in law the acts of the bank, and of which no mention is made in the by-laws. Libby v. Union Nat. Bank, 1881, 99 Ill. 622.

> 64. ---- Foreign currency

Receipt of deposits in foreign money is against public policy. Webber v. American Union Bank, N.Y.Sup.1926, 217 N.Y.S. 833, 128 Misc. 123, reversed 222 N.Y.S. 359, 221 A.D. 94.