Deposits
Can my landlord charge a damage deposit in Ontario?
No. Ontario only allows a last month's rent deposit. Damage deposits, cleaning deposits, and pet deposits are illegal, and you can apply to the LTB to recover any you were charged.
By the LeasePlain Editorial Team · Checked against Ontario's Residential Tenancies Act per our editorial standards·Last reviewed August 2026
The one permitted deposit — last month's rent — can only be applied to your final month of rent, never to damage or cleaning. A refundable key deposit capped at the actual replacement cost is the only other allowed charge.
Your landlord also owes you interest on the rent deposit every year, at the guideline rate (2.1% for 2026).