New York deposit rules at a glance
- Maximum deposit
- 1 month’s rent
- GOL §7-108; §7-107 for stabilized units
- Return deadline
- 14 days
- After you move out, with an itemized statement
- Interest required
- 6+ unit buildings
- Landlord may keep 1% per year (GOL §7-103)
- Willful violation
- Up to 2× deposit
- Punitive damages, plus actual damages
How the calculator works
Cap check: anything you paid above one month's rent is flagged. Interest: if your building has six or more apartments (or your apartment is rent stabilized), we grow the deposit at the bank rate you enter for the time between move-in and move-out, then subtract the landlord's 1% per year administrative fee. If the fee is larger than the interest, you get zero, not a negative number. Deadline: move-out date plus 14 days. Amount owed: deposit plus your interest, minus deductions the law allows. Deductions you tag as wear and tear or a prior tenant's damage are excluded, and if the itemized statement came after the deadline (or never), all deductions are dropped because the landlord forfeits the right to keep any of it.
Worked example
You paid a $3,000 deposit on a $3,000 apartment in a 20-unit building, lived there exactly three years, and the bank paid 2% a year. The account earned about $183.62. The landlord may keep 1% a year, $90, so $93.62 is yours. The landlord's statement, sent on day 10, lists $250 for a hole in the wall and $400 to repaint. The hole is damage you caused, so it can be deducted. Repainting after three years of normal living is ordinary wear and tear, so it can't. You are owed $3,000 + $93.62 − $250 = $2,843.62. If the statement had arrived on day 20, you would be owed the full $3,093.62.
At a 0.5% rate, the same deposit earns about $45 over three years, less than the $90 fee, so no interest is due. That is why the bank rate matters. Your landlord must tell you in writing which bank holds the deposit.
What counts as a lawful deduction
- Unpaid rent.
- Utilities the landlord bills you directly under the lease.
- Moving and storing belongings you left behind.
- Damage you caused beyond normal wear and tear.
Not allowed: ordinary wear and tear and damage caused by a previous tenant. The landlord has to prove that what it kept is reasonable.
Get your money back
- 1
Ask for a move-out inspection
The inspection happens one to two weeks before your tenancy ends, with at least 48 hours’ notice. You get a list of problems and a chance to fix them. - 2
Document the apartment
Take dated photos and video on move-in and move-out day. Give the landlord your forwarding address in writing. - 3
Mark the 14-day deadline
Use the date in the calculator. Note when the itemized statement arrives. - 4
Send the demand letter
Copy the letter above, fill in the blanks, and send it by email and certified mail. See how to get your deposit back. - 5
File in Small Claims Court
If you still aren't paid, sue in Small Claims Court or complain to the Attorney General. Read suing for your deposit in NYC.
Edge cases
- Rent-controlled apartments are excluded from §7-108's deposit cap and 14-day rules; check with NYS Homes and Community Renewal.
- Rent went up at renewal? State housing regulators (HCR Fact Sheet #9) say the owner can collect more to bring the deposit up to the new monthly rent. That is not an over-cap charge.
- Registered seasonal-use rentals (120 days or less, listed in a local seasonal-use registry) and co-op apartments occupied by their own shareholder are exempt from the one-month cap.
Before you sign your next lease, add up everything due with the move-in cost calculator and read New York security deposit rules.