Security Deposit Return Deadlines & Deductions in Illinois

Short answer For a property-damage deduction, an Illinois landlord must send an itemized statement with repair costs and receipts within 30 days after the tenant vacates or possession ends, whichever is later; without the required statement, the full deposit is due within 45 days after move-out. The statewide deposit acts set no amount cap, while the interest rule applies to deposits held more than six months in buildings or contiguous complexes with at least 25 units. A court may award twice the deposit due plus costs and attorney's fees if the landlord refused the required statement or gave it in bad faith and also missed the return deadline.
State
Illinois
Statute checked
October 7, 2026
Sources
6 statutes
Pending legislation could change this.
IL SB 3530 (2025-2026) (Pending in Senate Assignments Committee; the official tracker still shows re-referral on June 1, 2026 followed only by two co-sponsors added June 17-18, with no later action as of October 5, 2026): Would cap a security deposit at one month's rent for a tenant's primary residence (state law currently has no cap) and bar any additional deposit or deposit increase at lease renewal. A companion section in the same bill would separately cap annual rent increases at 3.5% with 30 days' written notice — a different subject than the deposit rules this survey covers. track it Status checked October 5, 2026.
IL HB 4998 (2025-2026) (Re-referred to the House Rules Committee on March 27, 2026; no later action is shown as of October 5, 2026): Would cap a residential security deposit or advance at one month's rent, with exceptions for seasonal-use dwellings and owner-occupied cooperative apartments. track it Status checked October 5, 2026.
IL SB 3763 (2025-2026) (Referred to Senate Assignments on February 5, 2026; only co-sponsor additions followed through October 5, 2026): Would bar a covered landlord from charging more than one of a security deposit, move-in fee, or move-out fee; owner-occupied buildings with six or fewer units would be exempt. track it Status checked October 5, 2026.
IL HB 5183 (2025-2026) (Re-referred to the House Rules Committee on March 27, 2026; no later action is shown as of October 5, 2026): Would make a pet fee or pet deposit refundable and cap it at the lesser of 15% of monthly rent or $350, while barring a landlord from charging both that amount and pet rent. track it Status checked October 5, 2026.
IL SB 2884 / HB 3687 (2025-2026) (SB 2884 remains in Senate Assignments after its January 16, 2026 referral; HB 3687 remains in House Rules after its February 18, 2025 referral, with no later substantive action through October 5, 2026): Would create a 1.5-month security-deposit cap, let a tenant pay the portion above one month's rent in up to six monthly installments, require return and damage itemization within 30 days after move-out, and require a federally insured in-state account. track it Status checked October 5, 2026.

At a glance

Governing law765 ILCS 710/1 (Security Deposit Return Act); interest via 765 ILCS 715 (Security Deposit Interest Act, buildings with 25+ units)
Deadline to return the depositIf withholding for property damage: itemized statement + receipts due within 30 days of vacating (or of when possession ends, if later). If no statement is furnished, the full deposit is due within 45 days of vacating instead.
Itemized statement required?Yes, for property-damage deductions — itemized statement with paid receipts (or estimates, followed by receipts within 30 more days) within 30 days; skipping it means the full deposit is due within 45 days instead
What can be deductedThe statute's itemization procedure covers property-damage deductions only; a written lease may also pre-set a dollar deduction for a specific component's repair/replacement, but that amount must cover damage beyond normal wear and tear. The statute doesn't set a parallel itemization procedure for withholding to cover unpaid rent.
Maximum deposit amountThe statewide residential deposit acts set no maximum deposit amount; local rules are outside this state-law comparison
Interest on the deposit?For a building or contiguous-parcel complex of 25+ units, on deposits held more than 6 months — prior-December-31 passbook rate at the largest Illinois commercial bank; pay interest of $5+ within 30 days after each 12-month period, and all unpaid interest at tenancy end
Penalty for a late/bad-faith withholding2x the deposit due plus court costs and reasonable attorney's fees, on a court finding the landlord refused to give the itemized statement (or gave it in bad faith) and missed the return deadline. Separately, willfully failing to pay required interest makes the landlord liable for an amount equal to the full deposit plus court costs and attorney's fees (no doubling).
Separate account or bond required?Neither statewide residential deposit act requires a separate account or bond; local rules are outside this survey

Requirements one by one

Governing law

The Security Deposit Return Act, 765 ILCS 710/1, addresses deposits held to secure rent or property damage. The Security Deposit Interest Act, 765 ILCS 715/1-2, separately sets interest duties for larger buildings and contiguous complexes. This page states the statewide rules.

Deadline to return the deposit

For property-damage withholding, § 710/1(a) gives the landlord 30 days to send an itemized statement, counted from move-out or the end of the tenant's right of possession, whichever is later. If a tenant moves out October 5 but keeps possession through October 10, that statement clock starts October 10. If the required statement and receipts are not furnished, the same section requires the full deposit back within 45 days of move-out.

Itemized statement required

The statement must identify each damage item and its estimated or actual repair or replacement cost, with paid receipts. If an estimate is used, paid receipts follow within 30 days of the statement. Section 710/1(b) allows a verified explanation and other cost evidence if the landlord cannot produce receipts through no fault of their own.

What can be deducted

For damage beyond normal wear and tear, a written lease may fix a reasonable dollar cost for a specific component; § 710/1(a) requires the itemization to identify the lease amount and attach that part of the lease. The statute's receipt procedure addresses property damage. It does not set out a separate receipt procedure for unpaid-rent withholding.

Interest on the deposit

Section 715/1 applies to a building or contiguous-parcel complex with at least 25 units and a deposit held more than six months. Under § 715/2, the landlord pays interest that has reached $5 within 30 days after each 12-month rental period and pays any remainder when the tenancy ends.

Penalty for noncompliance

Section 710/1(c) requires both a refused or bad-faith itemization and a failure to return the deposit due on time before a court awards twice the deposit due, costs, and reasonable attorney's fees. Section 715/2 instead requires a willful failure to pay interest and awards an amount equal to the deposit, plus costs and fees.

What trips people up

The 30-day statement clock and the 45-day full-return clock have different triggers. A landlord planning a property-damage deduction cannot use the 45-day deadline to postpone the required statement. If the tenant supplies no mailing or email address, § 710/1(a) says the landlord is not liable for damages or penalties resulting from that failure.

Interest turns on the number of units in one building or a complex on contiguous parcels, not the landlord's total units across unrelated sites.

Common questions

Can the landlord email the damage statement? Yes, § 710/1(a) permits email to a verified address the tenant provided.

Does a small building still follow the return rule? Yes. Section 710/1(a) applies to a residential lessor without a minimum unit count; the 25-unit threshold belongs to the separate interest rule in § 715/1.

Statutes and sources

  • 765 ILCS 710/1(a) — "may not withhold any part of that deposit as reimbursement for property damage unless the lessor has, within 30 days of the date that the lessee vacated the leased premises or within 30 days of the date the lessee's right of possession ends, whichever is later, furnished to the lessee ... an itemized statement" — https://www.ilga.gov/documents/legislation/ilcs/documents/076507100K1.htm (accessed 2026-10-07).
  • 765 ILCS 710/1(a), lease-specified deduction — "Costs specified in a written lease shall be for damage beyond normal wear and tear and reasonable to restore the leased premises to the same condition as at the time the lease began." — https://www.ilga.gov/documents/legislation/ilcs/documents/076507100K1.htm (accessed 2026-10-07).
  • 765 ILCS 710/1(b) — "If, through no fault of the lessor, the lessor is unable to produce as required in subsection (a) receipts for repairs or replacements ... then the lessor shall produce an itemized list of the cost of repair or replacement" — https://www.ilga.gov/documents/legislation/ilcs/documents/076507100K1.htm (accessed 2026-10-07).
  • 765 ILCS 710/1(c) — "has refused to supply the itemized statement required by this Section, or has supplied such statement in bad faith, and has failed or refused to return the amount of the security deposit due within the time limits provided" — https://www.ilga.gov/documents/legislation/ilcs/documents/076507100K1.htm (accessed 2026-10-07).
  • 765 ILCS 715/1 — "containing 25 or more units in either a single building or a complex of buildings located on contiguous parcels of real property" and "any deposit held by the lessor for more than 6 months" — https://www.ilga.gov/documents/legislation/ilcs/documents/076507150K1.htm (accessed 2026-10-07).
  • 765 ILCS 715/2 — "within 30 days after the end of each 12 month rental period, pay to the lessee any interest that has accumulated to an amount of $5 or more"; "The lessor shall pay all interest that has accumulated and remains unpaid, regardless of the amount, upon termination of the tenancy." — https://www.ilga.gov/documents/legislation/ilcs/documents/076507150K2.htm (accessed 2026-10-07).

Source links

Every statute quoted above, linked, with the date we checked it.

765 ILCS 710/1(a) · accessed 2026-10-07
765 ILCS 710/1(b) · accessed 2026-10-07
765 ILCS 710/1(c) · accessed 2026-10-07
765 ILCS 715/1 · accessed 2026-10-07
765 ILCS 715/2 · accessed 2026-10-07
This page is general legal information about your state's security deposit rules under STATE law, not legal advice about your specific deposit or lease. It does not cover city or county rules that may add further deposit requirements (some cities require additional notice, a higher interest rate, or a shorter deadline than the state floor) — check local law separately. Whether a deduction was proper, whether a deadline was missed, and what penalty applies often depend on case-specific facts this page cannot resolve for you. Verified against the official statute text on the date shown; confirm current law or consult a licensed attorney in the state before relying on it.

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