Alberta Security Deposit Rules: Damage Deposits & Refunds
Alberta lets landlords collect a damage deposit, but caps it, requires it to earn interest, and gives them a tight 10-day deadline to return it. Here's exactly what a landlord can charge and keep — and how to get your money back.
How Much Can They Charge?
In Alberta, a security deposit (damage deposit) can't be more than one month's rent at the start of the tenancy. Unlike some provinces, there's no separate pet deposit allowed on top — a landlord can require a higher single deposit (still capped at one month's rent) but can't stack an extra pet deposit beyond that.
It Must Earn Interest
Your deposit has to be held in an interest-bearing trust account, and the landlord must pay you interest at the province's prescribed rate. Depending on your agreement, interest is paid annually or at the end of the tenancy. It's small, but it's yours.
Inspection Reports Protect You
Alberta requires a move-in and move-out inspection report. The landlord must give you the chance to be present for both, and complete a written report. Without a proper inspection, it's much harder for a landlord to justify keeping your deposit for damage. Always get a copy and note existing damage at move-in.
The 10-Day Refund Rule
After you move out, the landlord generally has 10 days to return your deposit, or — if there are deductions — to provide a statement of account with any balance owing (or a good-faith estimate). A final statement and any remaining money must reach you within 30 days of the tenancy ending. They can deduct for unpaid rent and damage beyond normal wear and tear, but must account for every dollar.
Disputing Deductions
If you think a deduction is unfair, ask for the itemized statement and compare it against what's actually allowed. You can bring a claim through the Residential Tenancy Dispute Resolution Service (RTDRS) or Provincial Court to recover money wrongly withheld. Photos from move-out are powerful evidence.