Security Deposit Interest

[traderfx]

I am leaving a non-rent regulated apartment in
Queens at the end of this month. We paid a $2000
security deposit back in October of 1990. So it has been gathering interest for 12 years. A few questions for the forum. Any help provided would
be appreciated.

Q1. When we get our security deposit back, will
it include the interest that the deposit
has earned in the past 12 years?

Q2. Are there any banking fees that the landlord
can claim will be deducted from the security
deposit plus interest?

Q3. Does the interest on the security deposit
have to be paid to us within 30 days of our
move out date? It is my understanding that
the security deposit has to be paid back to
us within 30 days of our move out date. I
am not sure though about the interest the
security deposit has earned.

Thanks everyone for your help on this.
All the best,
Traderfx

[Chimera]

If the apartment building you live in contains 6 or more units, the landlord is required to keep the security deposit in an interest bearing account. You are entitled to the interest minus a administrative fee of 1% of the security deposit per year. However, if the building has fewer than 6 units the landlord is not required to keep the security deposit in an interest bearing account, and if he does not, no interest is owed to you.

The landlord is required to return your security deposit within a 'reasonable' amount of time. I wouldn't get nervous until a few months have passed. Also, a portion of your security deposit may be withheld due to damages to the apartment, with the exception of normal wear and tear. In order to ensure that you get all of your deposit back, make an effort to repair any damages that were incurred and to leave the apartment clean. I once lived in a building that charged 2 dollars per hole in the wall (due to thumbtacks and nails), so I spackled every single hole before leaving. Repairs and cleaning charges (for apartments not left 'broom swept') can legally be deducted.

Finally, send a note to the landlord shortly after moving out advising him of your new mailing address so they know where to send your deposit (this also serves as a gentle reminder to return it.) If you leave on good terms, it will decrease your chances of a long list of deductions from your deposit.

<small>[ January 30, 2003, 06:49 PM: Message edited by: Chimera ]</small>