What Are the Consequences for Not Returning a Security Deposit on Time?

Last Updated: October 24, 2023 by Ashley Porter

Find out what happens to landlords in each state who don’t return security deposits on time. Most states have penalties around 2x – 3x the amount of the deposit.

State Consequences for Late Security Deposit Return
Alabama 2x deposit
Alaska 2x amount due + court costs + attorneys’ fees
Arizona 3x amount due
Arkansas 2x amount due + court costs + attorneys’ fees
California Unintentional: amount of deposit
Bad faith: 2x deposit + amount due
Colorado 3x amount due + court costs + attorneys’ fees
Connecticut 2x deposit + court costs
Delaware 2x amount due + court costs
Florida Amount due + court costs + attorneys’ fees
Georgia Unintentional: amount due
Bad faith: 3x amount due + attorneys’ fees
Hawaii Unintentional: amount due
Bad faith: deposit + 3x amount due + court costs
Idaho 3x deposit or attorneys’ fees + court costs
Illinois Unintentional: actual damages
Bad faith: 2x deposit + amount due + court costs + attorneys’ fees
Indiana Deposit + court costs + attorneys’ fees
Iowa Deposit + 2x monthly rent + actual damages + attorneys’ fees
Kansas 1½x amount due
Kentucky Amount due
Louisiana Amount due + 2x amount due or $300 (whichever is greater) + court costs + attorneys’ fees
Maine 2x amount due + court costs + attorneys’ fees
Maryland 4x amount due + attorneys’ fees
Massachusetts 3x amount due + 5% interest + court costs + attorneys’ fees
Michigan 2x amount due
Minnesota Unintentional: 2x amount due
Bad faith: 2x amount due + $500
Mississippi $200 + actual damages
Missouri 2x amount due
Montana 2x amount due + court costs + attorneys’ fees
Nebraska Unintentional: Amount due + court costs + attorneys’ fees
Bad faith: Amount due + 1 month’s rent or 2x deposit (whichever is less) + court costs + attorneys’ fees
Nevada 2x deposit
New Hampshire 2x amount due
New Jersey 2x amount due + court costs + attorneys’ fees
New Mexico Deposit + $250 + court costs + attorneys’ fees
New York Unintentional: actual damages
Bad faith: 2x deposit + amount due
North Carolina Unintentional: amount due + attorneys’ fees
Bad faith: full deposit + attorneys’ fees
North Dakota 3x amount due + court costs
Ohio 2x amount due + attorneys’ fees
Oklahoma Amount due + court costs + attorneys’ fees
Oregon 2x amount due + court costs + attorneys’ fees
Pennsylvania 2x amount due
Rhode Island 2x deposit + attorneys’ fees
South Carolina 3x amount due + attorneys’ fees
South Dakota Deposit + $200 + court costs
Tennessee No statute
Texas 3x amount due + $100 + attorneys’ fees
Utah Deposit + $100
Vermont Unintentional: full deposit
Bad faith: 2x deposit + court costs + attorneys’ fees
Virginia Amount due + damages + attorneys’ fees
Washington Unintentional: deposit + court costs + attorneys’ fees
Bad faith: 2x deposit + court costs + attorneys’ fees
Washington D.C. 3x deposit + interest + court costs
West Virginia 2½x amount due + court costs
Wisconsin 2x amount due + court costs + attorneys’ fees
Wyoming Deposit + court costs

In some states, the penalty is more severe if the landlord acted intentionally or in “bad faith.” For example, in California, the maximum penalty is equal to the amount of the deposit if the landlord violated the return period by mistake, but up to twice the amount of the deposit plus the amount due if the act was in bad faith.

What is “Bad Faith” When Landlords Fail to Return the Deposit?

Generally, if a landlord failed to return the security deposit on time, courts make the assumption that they acted in bad faith. However, landlords can prove that they acted in good faith by showing that they made an honest effort to return the security deposit on time.

Below are some examples of situations where the security deposit is not returned on time, but the landlord may be considered to have acted in good faith:

  • There was a miscommunication regarding the delivery instructions
  • The tenant provided a forwarding address with a typo
  • The security deposit was lost in the mail

In court, the burden of proof falls on the landlord to show that they made a diligent effort to return the security deposit to the tenant. Simply not understanding the law doesn’t mean that the landlord acted in good faith.

Other Reasons Tenants Can Sue Concerning Security Deposit Returns

Here are other mistakes landlords can make with security deposits that can lead to legal issues:

In many states, the penalty in these situations differs from the failure to return a security deposit. For example, in Washington D.C., the maximum penalty for the failure to provide interest on a security deposit is $5,000 greater than the penalty when the landlord simply fails to return the deposit.