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 Tennessee

Tennessee: no statutory deadline to return the deposit. Interest: no. Penalty if the rule is not followed (no bad faith needed): forfeiture of the right to withhold. (Tenn. Code Ann. 66-28-301)

The rule in plain words

Return by: No statutory deadline.
Deductions allowed: unpaid rent, other lease obligations, damage beyond wear. Normal wear and tear never. Depreciation: none.
Interest: No.
Penalty: forfeiture of the right to withhold if the rule is not followed (no bad faith needed).
Who it covers: The URLTA chapter applies only in counties over 75,000 population (2010 census) (66-28-102(a)); elsewhere no state deposit statute applies.

The rule text

In the event the tenant leaves not owing rent and having any refund due, the landlord shall send notification to the last known or reasonably determinable address, of the amount of any refund due the tenant.

Tenn. Code Ann. 66-28-301(f). Source: Tenn. Code Ann. 66-28-301 Security deposits (FindLaw mirror), read 2026-10-09.

Research notes (2)

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

Text read from the FindLaw mirror (current as of 2024-01-02); the official code is on Lexis and was not fetched. Secondary sites disagree (30/60 days, 10 days); the statute text shows no day count.
Engine: days null means no deadline date; report the 60-day notice rule as a note.

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: No deadline
The statute sets none.
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: Tenn. Code Ann. 66-28-301 (Tennessee)
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                                   No statutory deadline: return it promptly.

Notes:
- Itemized under Tenn. Code Ann. 66-28-301.

Settle a deposit in Tennessee

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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