The cap and its two exceptions
Under N.D.C.C. § 47-16-07.1(1), a landlord may not demand security of more than one month's rent, however it is labeled. It may accept up to two months' rent from a tenant with a felony conviction, as an incentive to rent to that person, and may demand up to two months from a tenant who had a judgment entered for violating a previous rental agreement.
Pet deposits
A landlord may charge a separate pet security deposit of up to the greater of $2,500 or two months' rent. No pet deposit may be charged for a service animal or a companion animal a tenant with a disability needs as a reasonable accommodation under fair housing laws (subsection 2).
An interest-bearing account
The deposit must be placed in a federally insured interest-bearing savings or checking account for your benefit. The deposit and the interest it earns are returned to you when the lease ends, subject to lawful deductions. The landlord does not have to pay interest if you lived there less than nine months.
What can be deducted, and 30 days
The landlord may apply the deposit and interest to damage caused by your pet or by the negligence of you or your guests, to unpaid rent, and to cleaning or repairs that were your responsibility and are needed to restore the unit to its condition at move-in, reasonable wear and tear excepted. Within 30 days after the lease ends and you deliver possession, the landlord must deliver or mail to the last address you gave it an itemization, the amount due, and a written notice stating any balance owed either way.
Our calculator counts 30 days.
Steps to recover a North Dakota deposit
- Check the cap, including any pet deposit.
- Give the landlord your new address in writing.
- Return possession and count 30 days.
- Demand the deposit plus interest, citing the treble-damages rule.
- If that fails, file a claim in small claims court.
Neighboring states
Minnesota pays 1% interest and gives 3 weeks. South Dakota gives 21 days, and Montana has no cap.
Frequently asked questions
What is the maximum security deposit in North Dakota?
One month's rent, or up to two months in two specific cases, plus a separate pet deposit.
Do North Dakota landlords pay interest?
Yes. The deposit must earn interest for you, though none is owed if you lived there less than nine months.
How long does a North Dakota landlord have to return a deposit?
30 days after the lease ends and you deliver possession.
What is the penalty in North Dakota?
Treble damages for any deposit money withheld without reasonable justification.
Sources
Last reviewed Oct 17, 2026. Read how we verify. Found an error? Tell us.