Security deposits in North Carolina

One rule applies, with its citation below.

Research, not legal advice

These summaries are compiled from ordinance text and public sources and are dated at the point they were last checked. Rules change between checks — Newark replaced its whole registration regime in a single month — so confirm anything you are about to underwrite against the primary source or the municipal office named in the citation.

Security deposits have trust, cap, notice, and accounting rules

North Carolinahigh confidence

Verified on 2026-08-26.

G.S. 42-50 requires a qualifying trust account or bond and notice of its location; G.S. 42-51 caps deposits at two weeks' rent for weekly tenancies, one and one-half months for monthly tenancies, and two months for longer terms; G.S. 42-52 requires a refund or itemized accounting within 30 days, with an interim accounting and final accounting within 60 days when the claim cannot yet be determined.

Permitted deductions are limited by G.S. 42-51, normal wear and tear may not be charged as damage, and a reasonable nonrefundable pet fee is separately addressed by G.S. 42-53.

Weekly cap: 2 weeks' rent
Monthly cap: 1.5 months' rent
Longer term cap: 2 months' rent
Bank or bond notice: 30 days after lease begins
Refund or accounting: 30 days after termination and delivery of possession
Final accounting when undetermined: 60 days

In effect since 2009-10-01.

Sources

North Carolina Article 6 — Tenant Security Deposit Act — N.C. Gen. Stat. §§ 42-50 through 42-56
S.L. 2009-279 — current deposit-accounting deadlines — S.L. 2009-279, effective October 1, 2009

Every rule for North Carolina