Security deposits in Alberta

How much a landlord can charge

• The deposit can't be more than one month's rent at the start of the tenancy.
• Any refundable fee (for example a refundable key or pet deposit) counts toward that one-month limit.
• The landlord can't raise the deposit later, even if the rent goes up.
• The handbook recommends that landlords give a receipt for the deposit. The RTA doesn't require one, so ask for it.

How it must be held

The landlord must deposit it into a trust account at a bank, treasury branch, credit union or trust company in Alberta within 2 banking days, and keep records about it for 3 years after the tenancy ends.

Interest

The Province sets the interest rate each year. The landlord pays interest every tenancy year, unless you both agree in writing that it will be paid when the tenancy ends.

The Province's interest calculator works out what's owed for a given deposit and set of dates.

What a landlord can deduct

• Unpaid rent, and other amounts you agreed to in the lease (for example utilities or late fees).
• The cost of repairing damage beyond normal wear and tear, but only if both the move-in and move-out inspection reports were done.
• Cleaning beyond normal wear and tear, but only if the lease includes a commitment from you to clean at move-out and you didn't do it.
• Normal wear and tear can't be deducted, for example carpet worn thin by years of ordinary use.

Getting it back

Within 10 days after you move out and return the keys, the landlord must either return the full deposit with any interest, or give you a written statement of account listing each deduction and return any balance. If damage costs are still being estimated, they may give an estimate first, with a final statement within 30 days. Give the landlord your forwarding address in writing.

If you disagree with a deduction, try writing to the landlord first. If that doesn't work, you can apply to the RTDRS or the court.

General information only, not legal advice. The Residential Tenancies Act and its regulations are the final word; check the official sources above or get legal advice for your situation.

Related guides

• Inspections
• Alberta tenancy basics