Rhode Island Rules on Prepaid Rent for Tenants

Understanding how prepaid rent works is essential for Rhode Island renters. Whether you’re moving into a new apartment or renewing your lease, it’s important to know what your landlord can and cannot ask for when it comes to prepaid rent and security deposits. Rhode Island law sets clear guidelines to protect renters from excessive upfront charges and to clarify what happens to those funds during and after your tenancy.

What Is Prepaid Rent and How Is It Different from a Security Deposit?

Prepaid rent is any rent paid by a tenant before it is due under the lease, sometimes called "advance rent." Unlike a security deposit—which is held for damages or missed rent—prepaid rent is simply an early payment toward future rent.

Rhode Island’s Limits on Prepaid Rent and Security Deposits

In Rhode Island, state tenancy law specifically limits what a landlord can collect upfront when you move into a rental property:

• Security Deposit: A landlord cannot require more than one month’s rent as a security deposit.
• Prepaid (Advance) Rent: There are no statutory limits in Rhode Island law on prepaid rent, meaning a landlord can legally request rent in advance beyond the first month, provided this is written in your lease.
• Application and Other Fees: Rhode Island law does not explicitly limit non-refundable application fees, but these must not disguise extra security deposits.

It's vital to carefully read your lease agreement. If a landlord requires both a security deposit and additional prepaid rent, these should be listed separately and explained clearly in your contract.

How Your Prepaid Rent Must Be Handled

Because prepaid rent is payment for future months, you should not be asked to pay it again as those months arrive. If you leave early or experience eviction, you may be entitled to a refund of unused prepaid rent, depending on the lease terms and the reason for leaving.

Getting Your Security Deposit and Prepaid Rent Back

At the end of your tenancy, you’re entitled to a written itemization of any deductions from your security deposit and to get any unused prepaid rent reimbursed, subject to lease provisions.

• Your security deposit must be returned within 20 days of the lease ending and you returning possession of the unit.
• Prepaid rent meant for unused periods should also be refunded if your lease allows.

Action Steps If You Have a Problem

If you believe your landlord is wrongfully withholding prepaid rent or a security deposit:

• Request a written explanation from your landlord.
• Send a formal demand letter requesting return of your funds. Rhode Island does not mandate a specific form for this, but you can use a simple demand letter stating the details and amounts.
• If unresolved, you may file a claim with the Rhode Island District Court’s Landlord-Tenant Division or in Small Claims Court.¹

For specific actions, such as filing for escrow or addressing withheld deposits, speak to a legal aid office or review Rhode Island General Laws Title 34, Chapter 18 for more information.²

Official Forms for Rhode Island Renters

• Complaint for Recovery of Security Deposit
  Use: When your landlord does not return your deposit or prepaid rent within the required time. You file this with the District Court.
  Rhode Island Judicial Forms Library
• Demand Letter (no official number)
  Use: There is no official state template, but writing a clear letter demanding return of funds is often the first step. Include dates, amounts, and your new address for the return.

Frequently Asked Questions about Prepaid Rent in Rhode Island

1. Can a landlord in Rhode Island demand multiple months of prepaid rent?
   Yes, there is no legal limit on the number of months for prepaid rent, but it must be agreed to in your lease.
2. How long does my landlord have to return prepaid rent or deposits after I move out?
   Security deposits must be returned within 20 days; prepaid rent for unused periods may be refunded according to your lease.
3. Is there an official agency that handles landlord-tenant disputes in Rhode Island?
   Yes, the Rhode Island District Court Landlord-Tenant Division resolves these disputes.
4. Must my landlord provide a written receipt for prepaid rent?
   While not required by state law, you should always request a receipt to document your payments.
5. What can I do if my landlord refuses to refund my security deposit or unused prepaid rent?
   Start with a written request, then file a complaint in District Court if needed.

Need Help? Resources for Renters

• Rhode Island District Court – Landlord-Tenant Division: For filing complaints/claims and retrieving forms.
• Rhode Island General Laws – Residential Landlord and Tenant Act: Official legislation for all tenancy matters.
• Rhode Island Housing – Rental Assistance and Renter Resources: Information, referrals, and rent help.
• Rhode Island Legal Services: Free or low-cost legal assistance for qualifying renters.

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1. Rhode Island District Court, Landlord-Tenant Division: Landlord-Tenant Division official page
2. Rhode Island General Laws, Title 34, Chapter 18 – Residential Landlord and Tenant Act: See official Rhode Island tenancy legislation

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