Massachusetts Security Deposit Law at a Glance
Interest Required by Law:
Yes - landlord must pay interest
Estimated Annual Rate:
5.0% per year (bank rate interest)
Maximum Deposit:
1 months' rent
Interest Rate:
5.0%
Massachusetts requires landlords to pay the interest rate earned by the bank where the deposit is held, or 5% per year if not in an interest-bearing account. Deposits are limited to 1 month's rent.
Security Deposit Interest Calculator
Total deposit paid to landlord
Used to check deposit limits
$0
Total Interest Owed
$0
Original Deposit
$0
Total Return (Deposit + Interest)
0
Years Held
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Deposit vs. Legal Limit
Interest Growth Over Time
Estimated interest at 5.0% per year on a $1,500 deposit.
| Years Held | Interest Earned | Total Return |
|---|---|---|
| 1 year | $75.00 | $1,575.00 |
| 2 years | $150.00 | $1,650.00 |
| 3 years | $225.00 | $1,725.00 |
| 5 years | $375.00 | $1,875.00 |
| 10 years | $750.00 | $2,250.00 |
Massachusetts Tenant Rights: Security Deposit Checklist
- Request a written receipt for your security deposit at move-in
- Document the condition of the unit with photos and video before moving in
- Get all deposit terms in writing in your lease agreement
- Provide written notice of your forwarding address when you move out
- Request a move-out walkthrough inspection with the landlord
- Keep copies of all communication with your landlord about the deposit
- Request your annual interest statement from your landlord (required by law)
- If deposit is not returned on time, send a written demand letter
- File in small claims court if the landlord wrongfully withholds your deposit