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Clause Providing for the Reduction of the Tenant's Security Deposit Form

Clause Providing for the Reduction of the Tenant's Security Deposit Form

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if you're a landlord and you collect a deposit are you obligated to keep that deposit in a trust account the answer is no our management company for example we're required to keep tenant security deposits in a special trust account but if you're a landlord and you ask us to disperse the deposit to you you can do whatever you want with it you can spend it you can keep it in an interest bearing account but when it comes time to account to the tenant for that deposit you have to come up with the money it's dangerous because some of our landlords will take the deposit spend it and then when it comes time to do the tenant deposit accounting they don't have the deposit and that's a problem because now they're going to get into violations of the law for failing to return the tenant security deposit back I recommend you let the property manager hold the deposit so the manager can do the accounting or you keep it in a separate account if y

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