How do you calculate interest earned on security deposit?
When I move out of my apartment, do I gain interest on the security deposit I gave initially, or do I just get the same amount back? I will have lived in the apartment for 2 years. If I get interest, what is the calculation to make sure I'm getting the right amount? Thanks!
Tenant security deposits are to be placed into an interest bearing escrow account in the 3rd year per PA Escrow Law (1972); this is not a retroactive situation whereby you would be entitled to interest for the 1st 2 years. Furthermore, your expectation for signinficant interest accrual should be tempered as interest rates are nominal today.
It depends on the amount held, the rate of interest, and the time it is held which is prorated over a year's time.
Didn’t find what you were looking for? Ask a question!
Ask a question
|
|
|
|
|||||||||||
|
|
|
|
|
|
Fair Housing and Equal Opportunity