Montana Security Deposit Law

Maximum deposit

Montana law does not cap the amount of a security deposit (MCA Title 70, ch. 25 sets no limit). (MCA Title 70, ch. 25 (no cap), MCA § 70-25-101(4))

Return deadline

Landlords must return the full deposit within 10 days if there is no damage, cleaning, unpaid rent or unpaid utilities, and otherwise must deliver the refund with a written list of charges within 30 days after the tenancy ends or the unit is surrendered (MCA § 70-25-202). (MCA § 70-25-202(1)(a), (b))

Itemized statement of deductions

Landlords must give the departing tenant a written list of rent due and damage and cleaning charges within 30 days, or they forfeit the right to withhold for damage or cleaning (MCA §§ 70-25-202, 70-25-203). (MCA § 70-25-202(1)(a), MCA § 70-25-203)

Interest on the deposit

Montana law does not require landlords to pay interest on security deposits (MCA Title 70, ch. 25 is silent). (MCA Title 70, ch. 25 (silent))

Penalty for wrongful withholding

A landlord who wrongfully withholds a deposit owes the tenant the amount wrongfully withheld plus possible attorney fees, and a landlord who skips the written list forfeits all damage and cleaning deductions (MCA §§ 70-25-203, 70-25-204). (MCA § 70-25-204(1), MCA § 70-25-203)

Where the deposit is held

Montana's security deposit law does not require landlords to keep deposits in a separate, trust or interest-bearing account (MCA Title 70, ch. 25). (MCA Title 70, ch. 25 (no holding rule))

Receipt or written notice of the deposit

Montana does not require a receipt for a security deposit or a notice saying where it is held (MCA Title 70, ch. 25). (MCA Title 70, ch. 25 (no receipt rule))

Move-in condition checklist

A Montana landlord that requires a security deposit must give each tenant, when the lease is signed or the tenancy begins, a separate signed written statement of the unit's present condition (MCA § 70-25-206(1)-(2)). (MCA § 70-25-206, MCA § 70-25-201(2))

A landlord that skips the statement (or, on written request, the prior tenant's damage and cleaning list) cannot recover damage or cleaning costs unless it proves by clear and convincing evidence that this tenant caused the damage (§ 70-25-206(3)). Either party may ask for an inspection within 1 week before the tenancy ends (§ 70-25-201(2)).

Pet deposits

Montana has no pet-deposit statute, though any charge for cleaning and damages, however labeled, is presumed to be a refundable security deposit, and the 2023 emotional-support-animal law does not address deposits (MCA §§ 70-25-101(4), 70-24-114). (MCA § 70-25-101(4), MCA § 70-24-114)

Nonrefundable fees

Montana presumes that any fee or charge for cleaning and damages is a security deposit no matter what the lease calls it, so a 'nonrefundable' cleaning or damage fee is treated as refundable deposit money (MCA § 70-25-101(4)). (MCA § 70-25-101(4), MCA § 70-24-201(4))

Any deposit the lease requires the tenant to keep in place for part or all of the term is also presumed to be a security deposit. Since 2025 a landlord also may not add a fee based on how rent is paid, except to recoup an electronic bank fee (§ 70-24-201(4)).

Small-landlord exemptions

Montana's deposit rules apply to every rental of a dwelling covered by the landlord-tenant acts, with no carve-out for small or owner-occupant landlords (MCA §§ 70-25-102, 70-24-104). (MCA § 70-25-102, MCA § 70-24-104)

Deposit alternatives and installments

No Montana statute regulates deposit-alternative products, surety bonds or installment payment of deposits (MCA Title 70, ch. 25). (MCA Title 70, ch. 25)