Utah security deposit rules.
The Utah rules for residential security deposits in plain English: how much can be charged, how fast it comes back, whether interest is owed, and what catches operators out.
Last reviewed · Statute: Utah Code § 57-17-3 · Not legal advice
How much can be charged
No statutory limit on the deposit amount.
When it has to come back
Within 30 days after the renter vacates and returns possession, the owner must mail or deliver to the last known address, or send electronically by a means the renter provided, the deposit balance, any prepaid rent and an itemised deduction notice (HB 480, effective May 7, 2025).
Interest
No interest is required.
Where the money has to sit
No segregation requirement.
What catches operators out
- Non-refundable cleaning fees are allowed if disclosed in writing, separate from the refundable deposit.
- If the owner misses the 30-day deadline, the renter serves the statutory notice; if the owner does not comply within five business days the renter may recover the full deposit, prepaid rent and a $100 civil penalty, plus costs and attorney’s fees where the court finds bad faith.
What this looks like with Standby in Utah.
When a resident takes a Standby certificate there is no cash deposit to hold, so the cap, the return deadline and the interest rules above have nothing to attach to. You are covered up to the full deposit and draw on it when you need to.
When a resident pays cash instead, Standby handles that deposit under your lease and Utah law, so your team is not tracking return deadlines by hand.
This page summarises the most common single-family and multifamily residential rule in Utah. Furnished units, senior leases, mobile-home tenancies and short-term rentals can differ, and city ordinances may override the state default. Check the statute before relying on a figure for a specific lease.