Security Deposit Return Deadlines & Deductions in Vermont

Short answer Vermont generally gives a landlord 14 days to return a deposit with an itemized deduction statement, measured from discovery of vacancy or a noticed move-out date; a seasonal rental that is not a primary residence has 60 days. The state deposit section sets no general amount cap or interest duty. Missing the 14-day return and statement forfeits withholding rights; a willful failure can add double the amount wrongfully withheld plus fees and costs (9 V.S.A. § 4461).
State
Vermont
Statute checked
October 7, 2026
Sources
5 statutes

At a glance

Governing law9 V.S.A. §§ 4451(5), 4461
Deadline to return the deposit14 days from discovered vacancy or noticed move-out; 60 days for seasonal, non-primary residence (§ 4461(c))
Itemized statement required?Yes; written deductions statement with refund within the applicable return period (§ 4461(c)–(d))
What can be deductedUnpaid rent, qualifying damage beyond wear or tenant control, unpaid utilities or charges, abandoned-property removal (§ 4461(b))
Maximum deposit amountNo statewide amount cap stated in § 4461
Interest on the deposit?No statewide duty; municipal ordinance may authorize interest (§ 4461(g))
Penalty for a late/bad-faith withholdingMissed 14-day return and statement forfeits withholding; willful failure adds double wrongfully withheld plus fees and costs (§ 4461(e))
Separate account or bond required?No state account or bond duty; municipality may not limit how a deposit is held (§ 4461(g))

Requirements one by one

Return and itemization

Under 9 V.S.A. § 4461(c)-(d), a landlord must send the deposit with a written statement itemizing deductions within 14 days after discovering the tenant vacated or after the tenant's actual move-out date if the landlord received notice of that date. A seasonal rental not intended as the tenant's primary residence has a 60-day return period. Hand delivery or mailing to the tenant's last known address satisfies the delivery rule.

Deductions

Under § 4461(a)-(b), the deposit is defined and the landlord may retain it for unpaid rent; damage to the landlord's property unless caused by normal wear and tear or events outside the tenant's control; required but unpaid utility or other charges; and removal of articles the tenant abandoned. Section 4451(5) defines normal wear and tear as deterioration from reasonable use without negligence, carelessness, accident, or abuse by the tenant or specified others.

Deposit amount and holding

Section 4461 states no statewide deposit amount cap and imposes no interest or separate-account duty. Under § 4461(f)-(g), a change in landlord transfers the deposit with notice to the tenant; a municipality may authorize interest, but may not limit how a deposit is held.

Remedy

Under § 4461(e), a landlord forfeits the right to withhold a deposit by failing to return it with a statement within 14 days. A willful failure also brings double the amount wrongfully withheld plus reasonable attorney's fees and costs. Subsection (e) does not expressly extend its 14-day forfeiture wording to the 60-day seasonal return period, so the remedy for a seasonal delay needs separate analysis.

What trips people up

The alternate move-out-date trigger applies only when the landlord received notice from the tenant of that date (§ 4461(c)). Keep a record of that notice and of the address used for delivery; the statute permits mailing to the last known address under subsection (d).

Common questions

Can a landlord charge for normal wear? No. Section 4461(b)(2) excludes normal wear and tear from deductible property damage, and § 4451(5) defines that phrase.

Does a local interest ordinance change the state return deadline? Section 4461(g) allows a supplemental municipal ordinance consistent with the section's minimum protections. Check the applicable ordinance separately for interest or other local additions.

Statutes and sources

  • 9 V.S.A. § 4461 — deposit definition, deductions, return, remedies and municipal authority. https://legislature.vermont.gov/statutes/section/09/137/04461 (accessed 2026-10-07)
  • 9 V.S.A. § 4451(5) — normal-wear definition. https://legislature.vermont.gov/statutes/section/09/137/04451 (accessed 2026-10-07)

Source links

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

9 V.S.A. § 4461(a)-(b) · accessed 2026-10-07
9 V.S.A. § 4461(c)-(d) · accessed 2026-10-07
9 V.S.A. § 4461(e) · accessed 2026-10-07
9 V.S.A. § 4461(f)-(g) · accessed 2026-10-07
9 V.S.A. § 4451(5) · 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.

What does Vermont law mean for your facts?

You just read the general rule. Ask your own question and see which parts of current Vermont law apply to your situation, with citations you can check.

Opens in Ezel Pro.

  • Starts from the statutes this survey is built on
  • Cites every source it relies on, so you can verify it
  • Chat, drafting and research in one workspace