9 V.S.A. § 4461: Vermont security deposit rules in plain English
What 9 V.S.A. § 4461 says about Vermont security deposits: the cap, the deadline to return the deposit, itemized deductions and interest. Every fact below comes from our statute-checked data. Last verified 2026-10-22.
Quick answer
- Return deadline
- 14 days
- Counted from the day you moved out, if you told the landlord that date; otherwise from the day the landlord discovers you moved out. Tell the landlord your move-out date and give a forwarding address: the refund goes to your last known address.
- Seasonal rentals that aren't a primary home get 60 days. If the landlord misses the 14 days, they lose the right to keep any part of the deposit; if the failure is willful, they owe double the amount wrongfully withheld plus attorney's fees and costs.
- Maximum deposit
- No statutory cap on the amount of a security deposit found in 9 V.S.A. chapter 137. A 'security deposit' is any advance, deposit or prepaid rent, however named, that is refundable to the tenant at the end of the tenancy; its function is to secure the tenant's obligations to pay rent and maintain the unit (§ 4461(a)). The landlord may retain it only for nonpayment of rent, damage beyond normal wear and tear (or beyond the tenant's control), unpaid utility or other charges the tenant had to pay directly, and expenses to remove articles the tenant abandoned (§ 4461(b)). 'Normal wear and tear' is defined in § 4451(5). A separate bill that would have capped deposits at two months' rent (H.772, 2026) failed in the Senate and did not become law.
- Itemized list
- Yes, an itemized list of deductions is required
- Interest
- No statewide interest or separate-account requirement found in chapter 137. A town or municipality may adopt a supplemental ordinance, which may authorize interest on deposits but may not limit how a deposit is held (§ 4461(g)).
What 9 V.S.A. § 4461 says, as we verified it
Deposit limit
No statutory cap on the amount of a security deposit found in 9 V.S.A. chapter 137. A 'security deposit' is any advance, deposit or prepaid rent, however named, that is refundable to the tenant at the end of the tenancy; its function is to secure the tenant's obligations to pay rent and maintain the unit (§ 4461(a)). The landlord may retain it only for nonpayment of rent, damage beyond normal wear and tear (or beyond the tenant's control), unpaid utility or other charges the tenant had to pay directly, and expenses to remove articles the tenant abandoned (§ 4461(b)). 'Normal wear and tear' is defined in § 4451(5). A separate bill that would have capped deposits at two months' rent (H.772, 2026) failed in the Senate and did not become law.
Interest
No statewide interest or separate-account requirement found in chapter 137. A town or municipality may adopt a supplemental ordinance, which may authorize interest on deposits but may not limit how a deposit is held (§ 4461(g)).
Full citation: 9 V.S.A. § 4461(a)-(g); § 4451(5) Read the official text
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FAQ: 9 V.S.A. § 4461
How long does a landlord have to return a deposit under 9 V.S.A. § 4461?
Under 9 V.S.A. § 4461, a Vermont landlord has 14 days to return the security deposit or send an itemized list of deductions. Counted from the day you moved out, if you told the landlord that date; otherwise from the day the landlord discovers you moved out. Tell the landlord your move-out date and give a forwarding address: the refund goes to your last known address. Seasonal rentals that aren't a primary home get 60 days. If the landlord misses the 14 days, they lose the right to keep any part of the deposit; if the failure is willful, they owe double the amount wrongfully withheld plus attorney's fees and costs.
Is there a limit on the security deposit in Vermont?
No statutory cap on the amount of a security deposit found in 9 V.S.A. chapter 137. A 'security deposit' is any advance, deposit or prepaid rent, however named, that is refundable to the tenant at the end of the tenancy; its function is to secure the tenant's obligations to pay rent and maintain the unit (§ 4461(a)). The landlord may retain it only for nonpayment of rent, damage beyond normal wear and tear (or beyond the tenant's control), unpaid utility or other charges the tenant had to pay directly, and expenses to remove articles the tenant abandoned (§ 4461(b)). 'Normal wear and tear' is defined in § 4451(5). A separate bill that would have capped deposits at two months' rent (H.772, 2026) failed in the Senate and did not become law.
Does Vermont require an itemized list of deductions?
Yes, an itemized list of deductions is required. Citation: 9 V.S.A. § 4461(a)-(g); § 4451(5).
Does the landlord have to pay interest on the deposit in Vermont?
No statewide interest or separate-account requirement found in chapter 137. A town or municipality may adopt a supplemental ordinance, which may authorize interest on deposits but may not limit how a deposit is held (§ 4461(g)).
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Scan my Vermont leaseGeneral information only, not legal advice. Last verified 2026-10-22. Laws change; verify with the linked source or a licensed attorney.