PEI Security Deposit Rules: Limits, Interest & Refunds
Prince Edward Island caps the deposit a landlord can hold and sets a clear deadline to return it. Here's what a landlord can charge, what they can keep, and how to recover your deposit through IRAC.
How Much Can They Charge?
In PEI a security deposit can't exceed one month's rent. A landlord can't demand more, or add extra cleaning, key, or pet deposits on top.
Interest and Where It's Held
The deposit is held pending the end of the tenancy and earns interest at the set rate. Any dispute over it goes to the Residential Tenancy Office, part of the Island Regulatory and Appeals Commission (IRAC).
The 15-Day Return Rule
After your tenancy ends, the landlord generally has 15 days to return your deposit if they have no claim. If they want to keep some or all of it, they must apply to IRAC rather than simply holding it.
What They Can Deduct
Deductions are limited to:
- Unpaid rent owing at the end of the tenancy.
- Damage beyond normal wear and tear.
- Not normal wear and tear — faded paint, worn carpet, minor marks.