Security Deposit Return Deadlines & Deductions in Pennsylvania

Short answer Pennsylvania requires a landlord to give a written damage list and any remaining deposit within 30 days after lease termination or surrender and acceptance, whichever happens first. The deposit cap is two months' rent in the first year and one month's rent afterward. Missing the list deadline forfeits the right to withhold; failing to pay the balance on time can trigger double the amount wrongfully withheld (68 P.S. § 250.512).
State
Pennsylvania
Statute checked
October 7, 2026
Sources
5 statutes
Pending legislation could change this.
PA HB 573 (2025–2026) (Referred to House Housing and Community Development on February 12, 2025; no later action shown on the official bill page as of October 7, 2026): Would prohibit a lease from labeling a security deposit, including a pet deposit or fee, nonrefundable. track it Status checked October 7, 2026.

At a glance

Governing lawLandlord and Tenant Act §§ 511.1–511.3, 512 (68 P.S. §§ 250.511a–250.512)
Deadline to return the deposit30 days after lease termination or surrender and acceptance, whichever first occurs (§ 250.512(a))
Itemized statement required?Yes; written damage list within the same 30 days (§ 250.512(a))
What can be deductedTenant-caused damage, unpaid rent, or breach of another lease condition (§ 250.512(a))
Maximum deposit amountTwo months' rent in year one; one month thereafter; no increase after five years (§ 250.511a)
Interest on the deposit?After the second anniversary of funds held in escrow; tenant receives interest less 1% annual administration (§§ 250.511a(c), 250.511b(b)–(c))
Penalty for a late/bad-faith withholdingLate damage list forfeits withholding; late balance payment can mean double the improper withholding (§ 250.512(b)–(c))
Separate account or bond required?For deposits over $100 after the second anniversary: regulated-institution escrow or surety bond (§§ 250.511b(a), (c), 250.511c)

Requirements one by one

The Landlord and Tenant Act uses internal §§ 511.1-512, cited here as 68 P.S. §§ 250.511a–250.512.

Return deadline and itemization

The 30-day period in 68 P.S. § 250.512(a) runs from lease termination or surrender and acceptance of the premises, whichever first occurs. The landlord must provide a written list of claimed damage and pay the difference between the deposit, including unpaid interest, and tenant-caused damage. The same subsection preserves withholding for unpaid rent or another lease breach.

Deposit cap and interest

Section 250.511a permits up to two months' rent in the first lease year and one month's rent afterward. After five years of possession, a rent increase does not permit a matching deposit increase. For funds covered by § 250.511b, the tenant receives interest annually after the second anniversary of the deposit, less the landlord's 1% annual administrative amount.

Account or bond

Section 250.511b(a) addresses deposits over $100 and requires an account at a regulated institution, plus written notice of the bank and amount held. Subsection (c) says the provisions of that section apply only after the deposit's second anniversary. Section 250.511c allows a qualifying guarantee bond instead of escrow.

Remedies

Under § 250.512(a)-(c), failing to provide the damage list within 30 days forfeits the right to withhold escrow funds or sue the tenant for premises damage. Under § 250.512(c), failing to pay the balance within 30 days makes the landlord liable for double the difference between the deposit and actual tenant-caused damage, as determined by a court.

What trips people up

Provide a new address in writing when the lease terminates or the landlord accepts surrender. Under § 250.512(e)-(f), failure to provide an address relieves the landlord of liability under that section.

A pending bill, PA HB 573 (2025–2026), would forbid calling a security deposit, including a pet deposit or fee, nonrefundable. It remains in committee; the proposal is not the current rule.

Common questions

Can the landlord add a deposit increase after I have rented for five years? No increase tied to a rent rise is required under § 250.511a(d) once the tenant has possessed the premises for at least five years.

Does the deposit section cover a commercial lease? No. Section 250.512(f) expressly limits its return and remedy rules to residential leaseholds.

Statutes and sources

  • 68 P.S. § 250.511a (act § 511.1) — deposit cap and interest returned after extended tenancy. https://www.palegis.us/statutes/unconsolidated/law-information/view-statute?sessYr=1951&sessInd=0&actNum=0020.&smthLwInd=0&chpt=005.&subchpt=000.&sctn=011.&subsctn=001.&txtType=PDF (accessed 2026-10-07)
  • 68 P.S. § 250.511b (act § 511.2) — account and interest rules, including the two-year application limit. https://www.palegis.us/statutes/unconsolidated/law-information/view-statute?sessYr=1951&sessInd=0&actNum=0020.&smthLwInd=0&chpt=005.&subchpt=000.&sctn=011.&subsctn=002.&txtType=PDF (accessed 2026-10-07)
  • 68 P.S. § 250.511c (act § 511.3) — bond alternative. https://www.palegis.us/statutes/unconsolidated/law-information/view-statute?sessYr=1951&sessInd=0&actNum=0020.&smthLwInd=0&chpt=005.&subchpt=000.&sctn=011.&subsctn=003.&txtType=PDF (accessed 2026-10-07)
  • 68 P.S. § 250.512 (act § 512) — return, accounting, remedies, forwarding address and residential scope. https://www.palegis.us/statutes/unconsolidated/law-information/view-statute?sessYr=1951&sessInd=0&actNum=0020.&smthLwInd=0&chpt=005.&subchpt=000.&sctn=012.&subsctn=000.&txtType=PDF (accessed 2026-10-07)
  • PA HB 573 (2025–2026), introduced text and action history. https://www.palegis.us/legislation/bills/2025/hb573 (checked 2026-10-07)

Source links

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

68 P.S. § 250.511a (Section 511.1) · accessed 2026-10-07
68 P.S. § 250.511b (Section 511.2) · accessed 2026-10-07
68 P.S. § 250.511c (Section 511.3) · 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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