Wisconsin Prepaid Rent Rules: What Every Tenant Needs to Know

When you rent a home or apartment in Wisconsin, it’s common for landlords to ask for rent in advance or to collect prepaid rent as part of the move-in costs. Understanding your rights around prepaid rent is essential—especially since Wisconsin has specific regulations that protect tenants. This guide explains how prepaid rent works, your rights to refunds, key forms, and where to get help if you have concerns.

What Is Prepaid Rent?

Prepaid rent is any rent paid to your landlord before it is due, usually covering months beyond your first rent period. It’s different from a security deposit, which is money held to cover damages or unpaid rent. In Wisconsin, both are regulated by the state’s rental laws.

Wisconsin Laws on Prepaid Rent

The rules for prepaid rent in Wisconsin are established under the Wisconsin Statutes Chapter 704 (Landlord and Tenant) and administrative codes noted by the Wisconsin Administrative Code ATCP 134: Residential Rental Practices^1,2. These regulations are designed to protect tenants' financial interests and ensure clear handling of all advance payments.

Key Rules Wisconsin Renters Should Know

• Landlords can ask for prepaid rent in addition to a security deposit, but total upfront charges cannot exceed the equivalent of two months’ rent (one month for security deposit + one month prepaid rent).
• Prepaid rent must only be used to pay your rent for the agreed period in your lease.
• If you move out early (with proper notice), you are entitled to a refund of any unused prepaid rent.
• Prepaid rent refunds must be returned within 21 days after moving out, along with your security deposit.

These measures help prevent landlords from keeping more money than necessary or using prepaid rent for purposes other than rent.

Prepaid Rent vs. Security Deposit: What’s the Difference?

Wisconsin law treats prepaid rent and security deposits separately. Knowing the distinction helps avoid disputes:

• Prepaid Rent is payment made for a future rental period and cannot be used to pay for damages.
• Security Deposit is a separate payment held by the landlord for damages, cleaning, or unpaid rent as specified in Wisconsin Statutes § 704.28.

Refund Procedures for Prepaid Rent

If you move out before using all your prepaid rent, here’s how the refund process works:

• Check your written lease or rental agreement for any notice requirements.
• You are entitled to a refund of unused prepaid rent within 21 days of leaving the unit.
• If you do not receive your refund on time, you may file a complaint with the Wisconsin Department of Agriculture, Trade and Consumer Protection.

Official Forms: When and How to Use

• Wisconsin Rental Agreement (No official form/number): Most prepaid rent arrangements are outlined in your rental agreement. Always keep a copy and check for details about prepaid rent.
• Security Deposit/Prepaid Rent Dispute Complaint (DATCP): If your landlord fails to refund prepaid rent, file a complaint with the Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) using the Landlord-Tenant Complaint Form.
  Example: If you moved out two weeks before the end of your paid period and your landlord does not refund unused prepaid rent, complete and submit this complaint form by mail or online.

Landlord-Tenant Tribunal for Wisconsin

Wisconsin does not have a standalone residential rental tribunal. Most disputes are handled either through local Small Claims Court or by contacting the Wisconsin Department of Agriculture, Trade and Consumer Protection, the main state agency responsible for tenant complaints.

Rights and Next Steps if Problems Arise

If you believe your landlord has improperly withheld prepaid rent, consider these practical steps:

• Communicate in writing with your landlord, outlining the amount owed and referencing your lease.
• Keep copies of all correspondence and payment records.
• If not resolved, file a complaint with DATCP or consider small claims court if the amount is significant.

FAQs: Wisconsin Prepaid Rent Regulations

1. Can my landlord ask for more than one month’s prepaid rent in Wisconsin?
   Generally, landlords can only request up to one month’s rent as prepaid rent and one month as a security deposit, not exceeding two months' rent upfront.
2. What should I do if my landlord won’t refund unused prepaid rent?
   First, contact your landlord in writing. If you don’t receive your money within 21 days, file a complaint with DATCP.
3. How is prepaid rent different from a security deposit in Wisconsin?
   Prepaid rent is strictly for future rent payments; a security deposit covers damages or unpaid rent.
4. Where do I find the laws that protect my rights as a tenant in Wisconsin?
   The primary laws are in Wisconsin Statutes Chapter 704 and ATCP 134.
5. Which agency helps Wisconsin renters with prepaid rent disputes?
   The Wisconsin Department of Agriculture, Trade and Consumer Protection handles rental disputes.

Summary: Understanding Prepaid Rent in Wisconsin

• Wisconsin law limits the amount a landlord can collect as prepaid rent and requires refunds for unused portions when tenants move out.
• Always check your rental agreement and keep written records for all payments and communications.
• State agencies like the DATCP are available to help if your landlord violates prepaid rent rules.

Need Help? Resources for Renters

• Wisconsin Department of Agriculture, Trade and Consumer Protection (Landlord-Tenant Resources) – Main agency for complaints and information
• Landlord-Tenant Complaint Form – Download and submit to DATCP if your landlord fails to follow refund laws
• Wisconsin Small Claims Court – For formal legal disputes over rental money
• Wisconsin Department of Justice: Landlord-Tenant Law Guide – Easy-access legal explanations for renters

---

1. Wisconsin Statutes Chapter 704: Landlord and Tenant
2. Wisconsin Administrative Code ATCP 134: Residential Rental Practices

Categories

Renter Rights & Legal Protections Lease Agreements & Renewals Rent, Fees & Security Deposits Moving In: Inspections & Disclosures Moving Out & Ending a Lease Maintenance, Repairs & Habitability Health & Safety Standards Evictions & Lease Violations Roommates, Subletting & Shared Housing Discrimination & Fair Housing Laws Accessibility & Disability Accommodations Utilities, Services & Billing Affordable Housing & Rental Assistance Rent Control & Rent Stabilization Privacy Rights & Landlord Entry Security, Locks & Emergency Protections Dispute Resolution & Legal Aid Retaliation & Harassment Protections Mobile Home & Manufactured Housing Rights Special Housing Types & Situations