| Quick Facts | Answer |
| Acceptable Deductions | Unpaid rent, utilities, and late fees
Costs of damage |
| Return Deadline | No statute |
| Itemized Deductions | Required |
| Penalty for Late Return | No statute |
For laws on security deposit collections and holdings in Kentucky, click here.
Some cities and counties may have regulations which are different from those presented here. Always check local laws.
Security Deposit Deductions in Kentucky
In Kentucky, the following can be deducted from security deposits:
- Unpaid rent, utilities, and late fees
- Costs of damage excluding normal wear and tear
Most states, including Kentucky, do not have a legal limit on how much a landlord can charge for damages except that the charges must be reasonable and related to actual landlord expenses.
If the cost of the damages exceeds the amount of the security deposit, landlords are entitled to seek additional damages from the former tenant.
What is Considered Normal Wear and Tear in Kentucky?
“Normal wear and tear” is damage and deterioration to a property that happens over time using an ordinary and reasonable level of care. Normal wear and tear includes things like:
- Gently worn carpets
- Lightly scratched glass
- Faded paint and flooring
- Lightly dirtied grout
- Loose door handles
- Stained bath fixtures
“Excessive damage” means any careless, reckless, or intentional damage that occurs because of someone on the property with the tenant’s permission. Examples include:
- Heavily stained, burned, or torn carpets
- Broken tiles or windows
- Holes in the wall
- Missing fixtures
Can the Landlord Charge for Replacing the Carpet in Kentucky?
Landlords can charge for replacing the carpet if it is damaged beyond normal wear and tear.
A carpet that is slightly discolored or gently worn will be considered normal wear and tear. A carpet with visible stains, major discoloration and rips will be considered excessively damaged.
Can the Landlord Charge for Nail Holes in Kentucky?
Kentucky landlords can charge a tenant for nail holes if they damage the walls in a way that doesn’t demonstrate an ordinary and reasonable level of care.
Tenants have the right to use the walls within their unit in a reasonable way. This includes inserting small nails or thumbtacks to hang posters or pictures.
However, large holes from drilling, multiple nail holes, large nail holes, and holes made for hanging heavier things may be considered damage, and thus chargeable to the tenant.
Can the Landlord Charge a Cleaning Fee in Kentucky?
Landlords can make deductions from the security deposit for cleaning, but only if the tenant causes damage that requires cleaning, such as wine stains on the carpet.
Can the Landlord Charge for Painting in Kentucky?
In Kentucky, landlords can charge for painting, except for normal wear and tear. For example, if the tenant:
- Causes damage beyond normal wear and tear
- Repaints the wall but is not permitted to do so under the lease agreement
- Repaints the wall in an unprofessional way
Normal wear includes:
- Minor scrapes from daily use
- Fading due to sunlight
- Minor cracks in the original paint
Landlords can charge for repainting if the damage is not the result of normal use. This includes stains, large or deep scratches, and water damage.
Security Deposit Returns in Kentucky
When a lease term ends in Kentucky, landlords must conduct a final inspection and create a comprehensive list of damage to the rental unit including an estimated cost to repair. Tenants must have the right to inspect the rental unit to verify the list.
The tenant must either:
- Sign the list (which waives their right to dispute)
- Indicate in writing which items they disagree with
If a tenant files a small claim, they are only entitled to recover amounts related to items they specifically disagreed with in writing unless the landlord failed to review the list of damages with the tenant.
How Long Do Landlords Have to Return Security Deposits in Kentucky?
Unlike in most states, Kentucky does not have a specific deadline for the return of a security deposit. Landlords must return the security deposit to the tenant within a reasonable length of time with a written notice stating how much they withheld (if any).
If the landlord makes deductions, they must leave the withheld portion of the security deposit in its holding account for 60 days. If the tenant does not respond after 60 days, the landlord can withdraw and keep the unclaimed portion of the security deposit.
If the tenant leaves without paying their last month’s rent and does not request the return of their security deposit, the landlord must wait 30 days after the lease term ends before withdrawing the security deposit and applying it to the tenant’s debt.
Do Landlords Owe Interest on Security Deposits in Kentucky?
Kentucky law does not require landlords to provide interest on held security deposits.
How Do Landlords Give Notice in Kentucky?
Landlords must send written notice to the tenant’s last known (or reasonably determined) address including the amount of the security deposit due to the tenant.
Can a Security Deposit Be Used for Last Month’s Rent in Kentucky?
Kentucky law does not forbid the security deposit from being used for any outstanding rent.
Landlords can include a provision in the lease agreement that the security deposit cannot be used for the last month’s rent until the tenant vacates the rental unit.
Security Deposit Disputes in Kentucky
If landlords do not return the security deposit or fail to provide tenants the opportunity to attend the final inspection, tenants can file for the return of the portion of the security deposit wrongfully withheld in court.
Tenants can also take legal action against a landlord for:
- Disagreement with the itemized deductions
- Failure to hold the security deposit in a financial account
- Unreasonable deductions
How Can Tenants File a Dispute for a Security Deposit in Kentucky?
If a landlord fails to perform their obligations regarding a security deposit, the tenant can file a dispute in Small Claims Court. In Kentucky, tenants can file a case in Small Claims Court if the amount claimed is less than $2,500. If the amount is greater, the tenant must file a civil case in District Court.
A small claims case regarding the return of a security deposit must be filed within 5 years.
Sources
- 1 Ky. Rev. Stat. § 383.545
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“Security deposit” means an escrow payment made to the landlord under the rental agreement for the purpose of securing the landlord against financial loss due to damage to the premises occasioned by the tenant’s occupancy other than ordinary wear and tear.
Source Link
- 2 Ky. Rev. Stat. § 383.580(3)
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At the termination of occupancy, the landlord shall inspect the premises and compile a comprehensive listing of any damage to the unit which is the basis for any charge against the security deposit and the estimated dollar cost of repairing such damage. The tenant shall then have the right to inspect the premises to ascertain the accuracy of such listing. The landlord and the tenant shall sign the listing, which signatures shall be conclusive evidence of the accuracy of such listing. If the tenant shall refuse to sign such listing, he shall state specifically in writing the items on the list to which he dissents, and shall sign such statement of dissent.
Source Link - 3 Ky. Rev. Stat. § 383.580(5)
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A tenant who disputes the accuracy of the final damage listing given pursuant to subsection (3) of this section may bring an action in District Court. Tenant’s claim shall be limited to those items from which the tenant specifically dissented in accordance with the provisions of subsection (3) of this section, or except as otherwise provided, and if the tenant shall fail to sign the listing or specifically dissent in accordance with subsection (3) of this section, the tenant shall not be entitled to recover any damages under this section.
Source Link - 4 Ky. Rev. Stat. § 383.580(6) & (7)
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(6) In the event a tenant leaves not paying his last month’s rent and does not demand a return of his deposit, the landlord may, after thirty (30) days, remove the deposit from the account and apply any such excess to the debt owing.
(7) In the event the tenant leaves not owing rent and having any refund due, the landlord shall send notification to the last known or reasonably determinable address, of the amount of any refund due the tenant. In the event the landlord shall not have received a response from the tenant within sixty (60) days from the sending of such notification, the landlord may remove the deposit from the account and retain it free from any claim of the tenant or any person claiming in his behalf.
Source Link - 5 Ky. Rev. Stat. § 24A.230
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(1) The small claims division shall have jurisdiction, concurrent with that of the District Court, in all civil actions, other than libel, slander, alienation of affections, malicious prosecution and abuse of process actions, when the amount of money or damages or the value of the personal property claimed does not exceed two thousand five hundred dollars ($2,500) exclusive of interest and costs.
(2) The division may also be used in civil matters when the plaintiff seeks to disaffirm, avoid, or rescind a contract or agreement for the purchase of goods or services not in excess of two thousand five hundred dollars ($2,500) exclusive of interest and costs.
(3) The division shall have authority to grant appropriate relief, except no prejudgment actions for attachment, garnishment, replevin or other provisional remedy may be filed in the division.
Source Link - 6 Ky. Rev. Stat. § 413.120(2)
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The following actions shall be commenced within five (5) years after the cause of action accrued:
…
(2) An action upon a liability created by statute, when no other time is fixed by the statute creating the liability.
Source Link
