Minnesota Security Deposit Law
What landlords in Minnesota need to know about deposit limits, refund deadlines, interest, and penalties for getting it wrong.
Deposit cap
No statutory cap
Refund deadline
21 days
3 weeks (21 days) after move-out and delivery of a forwarding address.
Interest required?
Yes
Simple annual interest (rate set yearly by the state) is required.
Separate account?
Not required
Penalty for noncompliance
Bad-faith retention can result in up to $500 in punitive damages plus the deposit.
Statute: Minn. Stat. § 504B.178
This page summarizes general state-level rules as of 2026 and does not cover city or county ordinances, which can be stricter. Verify against the statute cited above or with a local attorney before relying on it. See all states.