Just over half the states cap security deposits by statute, most commonly at one or two months' rent. The rest have no statutory limit at all. If you were charged more than your state allows, that is a separate problem from anything that happened at move-out, and it does not stop being a problem just because you paid it.
Which states cap deposits?
Just over half.
Where a cap exists it is most often one or two months' rent, occasionally one and a half. The remaining jurisdictions leave it to the market and the lease.
A cap is usually expressed as a multiple of monthly rent, which means it moves with your rent rather than being a fixed sum. Some states also allow a higher deposit for a furnished property, or where a pet is involved.
Do pet deposits and last month's rent count toward the cap?
Often, and this is where caps are most commonly exceeded.
Many states count everything the landlord holds as security toward the same limit — a "pet deposit", a "cleaning deposit", a "key deposit" and prepaid last month's rent can all fall inside the cap depending on the state. A landlord who charges one month as a deposit and one month as a pet deposit in a one-month state may have exceeded it without ever using the word "deposit" twice.
What something is called matters much less than what it does. A sum held against possible future damage is generally a deposit whatever the lease names it.
What if I was charged more than the limit?
It does not become lawful because you paid it.
The usual position is that the excess is refundable, and some states attach a penalty on top. Time limits vary, and in some states the claim survives well beyond the tenancy.
Practically, an over-cap deposit is worth raising at the same time as anything else you are disputing. If your landlord is keeping $1,800 that should have been capped at $1,200, the argument about the cap is often simpler than the argument about the carpet.
Was my landlord supposed to give me a receipt?
In a number of states, yes.
Deposit receipt requirements vary in what they demand: some require written acknowledgement of the amount, some the name and address of the bank holding it, some the terms on which it can be kept. Several attach a deadline.
A missing receipt rarely wins a case on its own. What it does is add to a pattern — a landlord who never issued a receipt, never did a move-in inspection and never sent an itemized statement has missed three obligations, and that pattern is what makes the rest of your argument credible.
Does the deposit have to be held in a separate account?
In some states, yes, and a few require it to be an interest-bearing account or one held in-state.
Where that duty exists, mixing the deposit with the landlord's own money can itself be a breach, sometimes with consequences for what they can keep. Whether it applies where you rented, and what follows if it was ignored, is state-specific.
How does this fit with a deposit dispute?
It is a second front, and a useful one.
Most deposit disputes are argued entirely about the deductions — was the carpet damaged, was the cleaning reasonable. The intake questions are worth asking first: was the deposit lawful in size, was it receipted, was it held as the statute required? A landlord who is wrong about the amount they were allowed to hold is in a different conversation from one who is merely wrong about the carpet.
SecurityDeposit.co asks these questions as part of building your letter, so if your state caps deposits and yours exceeded it, that goes in alongside the deductions rather than being noticed a year later.
Frequently asked questions
Is there a federal limit on security deposits? No. Deposit caps are set by state law, and many jurisdictions have no statutory limit at all.
Does a pet deposit count toward the cap? In many states yes. What the landlord calls it matters less than what it is held against.
Can my landlord raise the deposit mid-tenancy? It depends on the state and the lease. Where a cap exists, the total held still has to stay inside it.
Is a non-refundable fee the same as a deposit? Some states permit genuinely non-refundable fees for specific things; others treat any sum held against future damage as a deposit regardless of the label. Do not assume the lease wording settles it.
I paid a deposit over the cap two years ago. Am I too late? Not necessarily. Time limits vary by state and are usually measured in years.
Does an over-cap deposit mean I get the whole thing back? Not automatically. It usually means the excess is refundable, and some states add a penalty. The rest is still argued on the deductions.
Last reviewed: 30 August 2026. Caps, receipt rules and account requirements vary by state and change; check your state's current statute before relying on any figure here.
Sources. Deposit caps, receipt duties and account-handling rules are statutory and vary widely; each state's deposit statute is linked from the state table. Two examples of the range: Cal. Civ. Code § 1950.5(c), which caps the total a landlord may demand, and Tex. Prop. Code § 92.102, which defines what counts as a security deposit regardless of what it is called.
SecurityDeposit.co checks the deposit itself, not just the deductions, when it builds a renter's demand.