# Can you tell me how much interest is on my \$700 security depos. I have been in my residence for 3 years and will be moving next month?

Asked by Trina, Roxbury, Boston, MA Sat Feb 13, 2010

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Interest is not much right now. It all depends on the bank that the owner is holding the security in. Also the owner should have been giving you the interest at the end of every year.

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1 vote Thank Flag Link Sun Dec 30, 2012
That small an amount of money might get 1% if placed in a very high interest account.
0 to 1/2% is more likely. The last few years have killed any concept of interest payments on cd's or money markets. A regular savings account almost costs more to put money in that you will get from it if you include gas to get there.
1 vote Thank Flag Link Wed Feb 17, 2010
It's safe to say you won't be able to retire on the interest...probably wouldn't buy you a cup of coffee!
1 vote Thank Flag Link Sun Feb 14, 2010
As you have probably figured out, it will be very little :-). You probably know from your own accounts that interest rates in bank accounts is nominal right now.
Looking at the reply that had \$25.61 interest on a \$2600 deposit since July 01, 2007 here's a back-of-the-napkin calculation for you: (and they look like they were getting roughly 1/4 of 1% interest on that deposit of \$2600, FYI)

Assuming the original poster put \$700 into the same account on the same day (July 1st, 2007 is 4 years and 7 months after Trina's initial post), they would have 7/26ths as much interest on theirs-- between \$6 and \$7.

But if it's been 3 years (instead of 4 and a half), it will be maybe half that much (assuming a constant rate of return since 2007, which isn't so far off as interest has been LOW since then). That'd be in the \$3-4 dollar range, most likely. I just ran the online interest calculator (using \$700, for 3.0 years, at 0.25% interest), and it said you'd have \$5.26 in interest.

It might buy you a cup of coffee, but not a dozen donuts!
my tenant had a deposit(\$2600) in a regular saving account since 2007 July, as of to day, they earn about
\$25.61.
so assuming the original poster put \$700 into the same account on the same day, they would have 7/26ths as much interest on theirs-- between 6 and 7 bucks. But if it's been 3 years (instead of 5 or six), it will be less than half that much (and maybe only a third or a quarter as much). It might buy you a cup of coffee, but not a cappuccino!
Flag Fri Aug 10, 2012
Our real estate company manages over 500 rentals in FL, and our laws allow for security deposits to collect interest. However, due to the fact it's difficult to calculate and split the interest, we don't have an interest bearing account because we were told the interest rate is pretty low. From my understanding, you should have a secuirty deposit agreement and should have the information written on that agreement or in your lease under the security deposit area. I understood that we had to explain all the details of the interest up front, and was to be split between the landlord and tenant in some way. Check your lease , and follow up with your landlord!
I have never seen a rental security deposit with interest. That includes Ohio & Missouri (multiple rentals for our kids in college). Does MA as a state or Roxbury as a city have any legal requirements for paying interest on residential lease security deposits?
Not all that much, perhaps around \$20 or so, if it was kept in a standard escrow account, typically around the same as a regular savings account would pay. You can check with the bank that is holding your deposit. The landlord should have either returned the interest to you or asked your permission to roll it over. They should also have it in an interest bearing account & given you a notice of where it's being held.

Hope that helps,