Security deposit interest in Montana
No — Montana does not require landlords to pay interest on security deposits.
There is no interest to calculate — here is what does apply
Montana sets no interest requirement, so there is no figure to work out. The rules below are the ones that decide whether you get your deposit back in full, which is usually the larger sum anyway.
Deadline to return your deposit
30 days after the tenancy ends.
Miss it and the consequences below start to apply.
What to do next
- Give your landlord a written forwarding address. Several states make the return duty conditional on it, and Montana's rules are summarised below.
- Photograph the unit at move-out, dated, before you hand back the keys. The dispute is almost always about condition.
- If the deadline passes, put the request in writing and cite Mont. Code Ann. Sec. 70-25-201 to 70-25-206. Keep a copy of what you sent and when.
Not legal advice. This is general information, not legal advice. Security deposit laws change and vary by jurisdiction. Verify with the cited statute or consult a licensed attorney in your state before taking action.
What does Montana law actually say?
Montana does not require landlords to pay interest on residential security deposits. Chapter 25 contains no interest provision, imposes no escrow or separate account requirement, and sets no cap on the deposit amount. The landlord may deduct only for damage alleged to have been caused by the tenant, unpaid rent, late charges, utilities, penalties due under the lease, other money owing at the time of deduction, and actual cleaning expenses including a reasonable charge for the landlord's own labour.
No deduction may be made for any other purpose. Either party may request an inspection within one week before the tenancy ends. Cleaning charges may not be imposed for normal cyclical maintenance the landlord noted at the start of the tenancy, unless the landlord is forced to do it because of the tenant's negligence, and may not be deducted until written notice specifying exactly what cleaning was not done and what is needed to restore the premises.
The tenant then has 24 hours to complete that cleaning. A tenant who vacates without giving notice of intent to vacate relieves the landlord of the notice requirement and allows cleaning charges to be deducted directly.
What if your landlord does not comply?
No interest obligation, so no interest penalty. Under Section 70-25-202 the landlord must provide a written itemised list of deductions within 30 days of termination, or within 10 days if there are no deductions. A landlord who fails to comply or who deducts in bad faith forfeits the right to withhold and, under Section 70-25-204, is liable for the amount wrongfully withheld plus reasonable attorney fees, and may face punitive damages for bad faith retention.