What are Connecticut’s rent deposit laws?

Don’t leave money you’re owed in your landlord’s bank account

If your landlord paid you the exact amount of your security deposit when you moved out, it’s likely they owe you money. And, if a bad landlord breaks the law, it’s possible for you to be paid double your deposit back.

A security deposit is meant to pay for damages a tenant makes to a unit that are beyond normal wear and tear. For example, a landlord is allowed to deduct money if a tenant made a hole in the wall and didn’t repair it before they moved out, or if they destroyed carpet. They can’t charge a tenant for nail holes in a wall or worn carpet.

Connecticut law caps how much of a deposit a landlord can charge you, when they have to send it to you after you move, and what happens to the money after you move in. Unfortunately, predatory landlords can try to take advantage of renters and try to keep their deposit. Knowing your rights can help you spot a bad landlord before you hand over your money – and know how to get what you’re owed.

How much can a landlord charge?

The amount a landlord can charge you for a security deposit depends on your age. If you are under the age of 62, then a landlord can require two months’ rent as your deposit. It is capped at one month if you are older than 62.

They are not required to charge you the maximum amount.

What happens to your deposit after you pay it?

State law is very specific about what happens to your deposit after you pay it. Your deposit is your property, not your landlord’s.

Landlords are legally required to place your security deposit into an escrow account in a bank located in Connecticut. They aren’t allowed to deposit it into their personal bank account.

Your deposit will earn interest while you live in your unit. This rate is set by the law and changes every year. The interest rate for 2025 is .52%, according to the state. That means if you lived in an apartment you paid a $1,000 deposit for, for example, you would be owed $1,005.20 if you moved out after a year.

How much are you owed when you move out?

Your landlord is required to pay you your full deposit if you have always paid your rent on time and haven’t damaged your unit beyond normal wear and tear. If you’ve caused damage, you are allowed to fix it yourself to keep your deposit. Take pictures of the unit when you move in and out so you can prove you left it in good condition. A landlord is required to provide you with an itemized list of damage they claim you caused, and how much it cost to fix it, in order to keep some or all of your deposit.

Landlords legally must pay you the interest your deposit earned. However, they aren’t required to give you the interest the account earned during a specific month that you were more than 10 days late on your rent (unless your lease includes a fee for paying late).

We understand that calculating how much interest your landlord owes you can be difficult. The Connecticut Department of Banking has a list of interest rates by year. Unfortunately, the state doesn’t have a tool to calculate what you could be owed.

If your landlord doesn’t give you your deposit back with interest, you may be able to take them to small claims court or housing court to try to get it. You could get double your deposit back if a court rules that a bad landlord broke the law. If your landlord didn’t pay you your interest, then they could be charged $10 or double the amount of interest you’re owed, whichever amount is more.

You can also make a complaint via an online form to the Connecticut Department of Banking. However, it can take several months, or even longer, for the department to investigate your case.

When does your landlord have to give you your money back?

A landlord has 21 days after you move to either return your entire security deposit, plus interest, or give you a written list of damages they’re deducting money for. It’s important to give them your written forwarding address so you can get your money.

What can you do if you never get your money?

Paying two months’ deposit, plus your first month of rent, is expensive. Your deposit is your money, and you should get it back if you’ve been a good tenant. It’s in a landlord’s best interest to return your deposit – or else they might have to pay you double.

There are ways to get your money back. You can make a complaint via an online form to the Connecticut Department of Banking, or you could take your landlord to court. A court can order a landlord to give you your deposit, pay you twice your deposit, or hand over double the interest they owe you.

Knowing your rights can help you spot a bad landlord, keep more of your money in your pocket, and protect your friends and family. Take the quiz to learn more.