Montana Security Deposit Law: Limits, Deadlines, and Penalties
What Montana landlords can charge, when deposits must be returned, and what it costs to get it wrong. Last reviewed 2026-08-12.
How much can a landlord charge in Montana?
Montana sets no cap on residential security deposits. One month's rent is the market norm; the return and itemization rules apply regardless of size.
No cap or separate statute; a refundable pet deposit is a security deposit under Montana's broad definition and follows the same notice, itemization, and return rules.
When must the deposit be returned?
Within 30 days of termination or surrender and acceptance (whichever comes first), the landlord must deliver a written list of rent due, damages, and cleaning charges along with any remaining refund. If inspection shows no damage, no cleaning needed, no unpaid rent, and the tenant can show utilities are paid, the full deposit is due within 10 days.
The landlord must provide a written list of any rent due, damage, and cleaning charges within 30 days; cleaning charges are only deductible if the landlord first gave written notice of the specific cleaning needed and the tenant failed to complete it within 24 hours.
What happens if a landlord misses the deadline?
A landlord who fails to provide the required written list forfeits all right to withhold any portion of the deposit (70-25-203). In a tenant's recovery action, the tenant is awarded the amount wrongfully withheld, and the court may award attorney fees to the prevailing party; Montana provides no double or treble damages.
Interest and holding requirements
Montana does not require landlords to pay interest on security deposits.
No statutory requirement — no separate account, escrow, or bond is mandated for holding deposits.
Recent changes to the law
The 2023 and 2025 legislatures amended §§ 70-25-201 and 70-25-202 (most recently Ch. 656, Laws of 2025): permissible deductions now expressly include late charges, unpaid utilities, and lease penalties; refunds may be delivered by electronic funds transfer; and the 10-day expedited return is conditioned on the tenant demonstrating utilities are paid.
What Montana landlords get wrong
Montana's distinctive rule is the cleaning-notice procedure: you cannot deduct a dime for cleaning unless you first gave the tenant written notice describing exactly what cleaning remains and a 24-hour window to do it themselves (waived if the tenant left without required notice). Deductions may cover damage, unpaid rent, late charges, utilities, lease penalties, and actual cleaning costs including reasonable labor. The 10-day fast-return applies when nothing is owed and the tenant can show utilities are paid; otherwise you have 30 days for the list plus refund, and refunds may be sent by electronic transfer, check, cash, or mail. Skip the written list and you forfeit every deduction.
The law itself
Frequently asked questions
How long does a Montana landlord have to return a security deposit?
It depends on whether anything is owed. If inspection shows no damage, no cleaning needed, no unpaid rent, and the tenant can show utilities are paid, the deposit is due within 10 days. Otherwise the landlord has 30 days from termination or surrender to deliver a written list of rent due, damages, and cleaning charges together with the remaining balance.
Can a Montana landlord charge for cleaning out of the deposit?
Only after following the notice procedure. The landlord must give written notice describing the specific cleaning the tenant has not done, and the tenant then has 24 hours to complete it. If the tenant vacated without giving required notice of moving out, the landlord may deduct cleaning costs without the warning. Actual cleaning expenses, including a reasonable charge for the landlord's own labor, are deductible.
Is there a limit on security deposits in Montana?
No. Montana law does not cap residential security deposits, require interest, or mandate a separate bank account. The protection for tenants is procedural: itemized written lists, the cleaning-notice-and-24-hours rule, and forfeiture of all deductions if the landlord fails to deliver the required list within 30 days of move-out.
What if a Montana landlord doesn't return the deposit or send a list?
A landlord who never provides the written list of damages and cleaning charges forfeits the right to withhold anything and must refund the full deposit. The tenant can sue — usually in small claims court — to recover the amount wrongfully withheld, and the court has discretion to award attorney fees to whichever party prevails. Montana law does not add double or treble damages.
Keep reading
Deposit deadlines are easy to miss — until they cost you triple.
Vantric tracks your leases, deposits, and move-out dates in one place, built for landlords with 1–10 units.
Start Free TrialThis page is general information, not legal advice. Statutes change — verify against the official text linked above or consult a local attorney before acting.