Earn up to [v="apyvalue"] APY2. No account fees. No minimum balances.

Security Deposit Account for Landlords in {{ state }}​

Thousands of tech forward landlords hold security deposits in a free Baselane banking account.

Multiple accounts per property
No account fees or minimum balances
Earn up to [v="apyvalue"] APY² interest

Benefits of security deposit accounts in {{ state }}

Landlords

  • Provides financial protection for landlords in the event of property damage caused by tenants
  • Allows landlords to recoup losses from unpaid rent or other costs associated with the lease agreement
  • Covers the cost of any repairs that need to be done on the property after a tenant leaves
  • Gives landlords peace of mind that there will be a financial cushion if anything goes wrong during the tenancy period

Tenants

  • Provides financial protection for landlords in the event of property damage caused by tenants
  • Allows landlords to recoup losses from unpaid rent or other costs associated with the lease agreement
  • Covers the cost of any repairs that need to be done on the property after a tenant leaves
  • Gives landlords peace of mind that there will be a financial cushion if anything goes wrong during the tenancy period

Security deposit rules in {{ state }}

  • Limit: No legal limit applies
  • Return Deadline: The security deposit must be returned within 45 days, or 30 days if you're taking deductions
  • Acceptable Deductions: Unpaid rent (including late fees), unpaid utility bills, cost of cleaning, and damage beyond normal wear and tear
  • Where to Deposit: Landlords with 25 units or more must keep security deposits in interest-bearing accounts in Illinois

Why choose Baselane

Manage security deposits and more

  • All-in-one platform with banking, rent collection, accounting and more
  • Eligible to hold security deposits*
  • Free rent collection that’s landlord and renter friendly
  • Earn up to [v="apyvalue"] APY2
  • Comprehensive cash flow analytics and reporting
  • Modern user interface and experience
  • Excellent customer support

Take control of your spend

Open a security deposit account and use physical & virtual debit cards with custom spend controls and automated transaction tagging with Schedule E categories.

Easily collect and return security deposits

Collect funds for security deposits via ACH, wire or check.

Easy to get started

Open a security deposit account for free

Create a virtual account
(aka - security deposit account)

Collect security deposits
into virtual account

Frequently Asked Questions

How much is a security deposit in {{ state }}?

There is no specific amount set for security deposits in Illinois. However, landlords who own 25 or more units must keep security deposits in interest-bearing accounts and pay interest to tenants, as per the provisions of the 765 ILCS 715/1 and 765 ILCS 715/2. Additionally, landlords must return the security deposit, minus any deductions for damages or unpaid rent, within a reasonable time after the tenant moves out, as defined by the state law.

In what other states can you use Baselane?

These are the other states where you can use Baselane: Arizona, California, Illinois, New Jersey, Texas, Virginia & all major states in the USA.

How is the security deposit amount determined when using the Baselane service?

Tenants can cause a lot of damage to your rental property, so you should aim to collect the largest security deposit the market will bear. One month’s rent is typical in most parts of the country, but you may be able to demand more if your rental property is in a particularly hot market.Your state may set a cap on how much you can collect. Many states, including New York, Massachusetts, and Ohio, set the maximum security deposit you can collect at one month’s rent. Others, including California, Pennsylvania, and Maryland, limit security deposits to 2 months’ rent. There’s no limit on security deposits for rentals in Indiana and Florida.

How are my personal information and funds protected when using the Baselane security deposit accounts?

You should collect the security deposit and the first month’s rent when your new tenant signs the lease. Be sure to give your tenant a detailed receipt for their deposit that includes all information required by local law. Consider using Baselane for automated rent collection to get paid faster, simplify your bookkeeping and ensure you’re handling your deposits appropriately.

Do I need a new security deposit agreement if my tenant switches to month-to-month rent?

If local law states a lower maximum security deposit for month-to-month leases, you may be required to refund the excess amount. Otherwise, the initial terms of the lease usually continue to apply when switching to month-to-month, and no change to the security deposit is required.

When can I collect the security deposit?

You should collect the security deposit and the first month’s rent when your new tenant signs the lease. Be sure to give your tenant a detailed receipt for their deposit that includes all information required by local law. Consider using Baselane for automated rent collection to get paid faster, simplify your bookkeeping and ensure you’re handling your deposits appropriately.

Get Your Free Rental Security Deposit Account Today

Make it easy to manage rental security deposit accounts with Baselane's Banking accounts.

 Get started for free