Reference: the security deposit rule in each state and covered city. To settle a deposit, use the free Deposit settlement tool.

Reference

Security deposit rules in Indiana

Indiana: return the deposit within 45 calendar days of the later of move-out and the end of the tenancy. Interest: no. Penalty if the refund or statement is late: actual damages only. (Ind. Code 32-31-3-12 to 32-31-3-16)

The rule in plain words

Return by: 45 calendar days after the later of move-out and the end of the tenancy.
Deductions allowed: unpaid rent, lease break fee, unpaid utilities, damage beyond wear. Normal wear and tear never. Depreciation: none.
Interest: No.
Penalty: actual damages only if the refund or statement is late.
Deposit cap: none in the statute.

The rule text

... all as itemized by the landlord with the amount due in a written notice that is delivered to the tenant not more than forty-five (45) days after termination of the rental agreement and delivery of possession. The landlord is not liable under this chapter until the tenant supplies the landlord in writing with a mailing address ...

Ind. Code 32-31-3-12(a). Source: Indiana Code 32-31-3-12, read 2026-10-09.

Research notes (1)

How we sourced this rule: where the text was read and what we could not check.

iga.in.gov is script-rendered; text read on FindLaw (current as of 2026-01-01).

Worked example

A $2,000.00 deposit; the tenant moved in on June 1, 2023 and out on September 30, 2026. Intended deductions: $300.00 unpaid rent, $150.00 cleaning and a $1,200.00 carpet that was 5 years old.

Return by: November 14, 2026
45 calendar days after the later of move-out and the end of the tenancy.
Allowed deductions: $1,500.00
Of $1,650.00 claimed.
Refund due: $500.00
Interest $0.00.

The draft statement for this example

DRAFT ITEMIZED STATEMENT OF SECURITY DEPOSIT
Rule: Ind. Code 32-31-3-12 to 32-31-3-16 (Indiana)
Move-out date: September 30, 2026

Security deposit held                            $2,000.00
Deduction: Unpaid rent                            -$300.00
Deduction: Carpet                               -$1,200.00
Total deductions                                -$1,500.00
Refund due to tenant                               $500.00
Return by                                   November 14, 2026

Notes:
- Itemized under Ind. Code 32-31-3-12 to 32-31-3-16.

Settle a deposit in Indiana

required

Where and how much

The state sets the rules; a covered city adds its own.

StateCityAdds the city's ordinance where we cover one.Deposit heldMonthly rentChecks the deposit cap.Units in the buildingInterest depends on it in IL, NY.

Dates

The dates start the clock.

Tenant moved outTenancy startedFor interest and item ages.Lease endedIf not the move-out day.Forwarding address receivedStarts or holds the clock in CT, IA, MN, RI, SD, TX, WY.Tenant's written demand receivedStarts the clock in AZ, KS, MD, MS, OK, SC, UT.New tenant moved inCan start the clock in WI, WV.Notice of claim sentFlorida: the day you sent the notice of your claimReturn period in the lease (days)The lease may set it in CO, ID, ME.

The tenant gave the notice the statute requiresChanges the deadline in AK.Repairs exceed the deposit and need a contractorCan extend the deadline in VA, WV.

Check as of another date

Check as ofDefaults to today. Use it to see where a past or future date stands.

Deductions

What you intend to keep; leave it empty to return everything. An item's age depreciates carpet, paint, blinds and appliances.

Deduction 1

CategoryAmountItem age or install dateNormal wear and tearOrdinary aging: never deductible.

Up to 9 lines.

Documentation

Some states require receipts or dated photos before a deduction stands.

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Computes and cites the published rule; it is not legal advice. You sign the statement: check the statute, your lease and any local ordinance first. Read the disclaimer.

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