Tennessee Security Deposit Rules: Limits and Return Deadlines

Understanding your rights regarding security deposits can help you avoid unexpected costs and protect your housing stability in Tennessee. This article explains the key rules around security deposit limits and return timelines, based on official Tennessee law and agencies. Whether you’re signing a new lease or moving out soon, here’s what every renter should know to help keep your money safe.

How Much Can a Landlord Charge for a Security Deposit in Tennessee?

Unlike some states, Tennessee law does not set a maximum limit on how much a landlord can require for a security deposit. However, the Tennessee Uniform Residential Landlord and Tenant Act (URLTA) regulates most aspects of security deposit handling in covered counties.^[1]

• No state cap: Landlords can set any reasonable security deposit amount. It’s common to see an amount equal to one month’s rent, but this is not required by law.
• Deposit terms: All terms should be included in the written lease agreement. If you’re unsure about the deposit amount or use, ask for written clarification before you sign.

Tip: Get a detailed, written receipt when you pay your security deposit and confirm how it will be held.

Rules for Holding and Returning Security Deposits

Tennessee law requires landlords to handle deposits responsibly. Here are your main protections:

• Separate account: Landlords must keep your security deposit in a separate account and may not co-mingle it with personal funds.
• Written notice: Upon request, landlords must inform tenants where and how the deposit is being held.

Security Deposit Return Deadlines

Once you move out, Tennessee law gives landlords 30 days from the end of your tenancy (and the return of possession) to return your security deposit, minus any lawful deductions.^[2]

• Walk-through required: Landlords must complete an itemized move-out inspection in your presence if you request it. You have the right to be present and review the report.
• Itemized deductions: If any part of your deposit is withheld, your landlord must provide a written list of damages and costs.
• Return method: The deposit and itemized statement must be sent to your last known address, or as arranged in your lease.

Common Deductions a Landlord May Make

Your security deposit can only be used for specific, legally allowed deductions:

• Unpaid rent or utility bills owed under the lease
• Damage beyond normal wear and tear
• Cleaning costs only if needed to restore the unit to its condition at move-in (excluding normal wear)

Tennessee law does not allow your landlord to charge you for routine maintenance or for issues already present at the start of your lease.

What to Do If Your Security Deposit Is Not Returned

If your landlord keeps some or all of your deposit without lawful reason, or fails to provide an itemized statement:

• Send a written demand letter (keep a copy for your records).
• If not resolved, file a claim in your local General Sessions Court, Tennessee’s official court for small claims and landlord/tenant disputes.
• Bring receipts, photos, and written communication as evidence.

You have up to one year to file a claim after your landlord fails to return your deposit.

Relevant Forms and How to Use Them

• General Sessions Civil Warrant (Form C-20): Used to file a small claims case for unreturned security deposits.
  • When to use: If your landlord fails to return your deposit within 30 days and written communication doesn’t resolve the issue.
  • How to use: Complete and file this form at your county’s General Sessions Court. Provide details of your deposit, move-out date, and communications. Bring copies of the lease, payment receipts, and move-out inspection as evidence.
  • Download General Sessions Civil Warrant (Form C-20)

The General Sessions Court is the official state tribunal handling residential tenancy disputes, including security deposit issues. You can find your local court using the state’s directory.

If you believe your deposit was wrongly withheld, act quickly, gather your documentation, and consider filing with the General Sessions Court.

Relevant Law: Tennessee Uniform Residential Landlord and Tenant Act

Most housing in Tennessee is protected by the Tennessee Uniform Residential Landlord and Tenant Act (Title 66, Chapter 28), especially in counties with a population above 75,000. Check if your area falls under this law for full protections.

Frequently Asked Questions About Tennessee Security Deposits

1. Is there a maximum amount a landlord can charge for a security deposit in Tennessee?
   No, Tennessee does not cap the amount. Landlords can require any reasonable deposit as agreed in the lease.
2. When should I receive my security deposit back after moving out?
   Landlords must return your deposit or an itemized deduction statement within 30 days after your move-out and return of possession.
3. Can my landlord deduct money for normal wear and tear?
   No, deductions can only be made for damages, unpaid rent, or extra cleaning required beyond normal wear and tear.
4. What should I do if my landlord refuses to return my security deposit?
   Send a written demand, then file a small claim in General Sessions Court if it’s not resolved.
5. Is a move-out inspection required?
   Legally, the landlord must do a move-out inspection and allow you to be present if you ask for it.

Need Help? Resources for Renters

• Tennessee Department of Commerce & Insurance – Landlord-Tenant Resources
• Tennessee General Sessions Courts Directory (filing small claims)
• Tennessee Human Services – Renter Assistance
• For legal help: Legal Aid Society of Middle Tennessee and the Cumberlands

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1. Tennessee Uniform Residential Landlord and Tenant Act (Title 66, Chapter 28)
2. Landlord-Tenant Act—Summary from TN Department of Commerce & Insurance

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