Alabama Security Deposit Law
A 2026 guide for Alabama landlords: how much you can hold, the 35-day deadline to return it, whether interest is required, and the penalties for getting it wrong — plus a free calculator set to Alabama's rules.
Deposit cap
1 month's rent
Refund deadline
35 days
Interest required?
No
No statewide interest requirement.
Separate account?
Not required
Penalty for noncompliance
Willful violation can allow the tenant to recover the deposit plus damages.
Statute: Ala. Code § 35-9A-201
Alabama security deposit refund calculator
Pre-set to Alabama's 35-day deadline. Enter the deposit and any deductions to see the refund and the exact due date.
Itemized deductions
Result
$1,500.00
Amount owed back to the tenant
- Deposit held
- $1,500.00
- Total deductions
- −$0.00
Legal deadline in Alabama
Return the deposit (or an itemized statement of deductions) within 35 days of move-out.
How to return a security deposit in Alabama
- 1
Inspect and document the unit
As soon as the tenant moves out, photograph every room and compare it against the move-in condition. In Alabama, deductions generally must reflect actual damage beyond normal wear and tear.
- 2
Itemize every deduction in writing
List each deduction with a dollar amount. Alabama — like nearly every state — can bar a landlord from keeping any of the deposit if deductions aren't itemized in a written statement.
- 3
Confirm no interest is required
No statewide interest requirement. That means you generally return the deposit minus documented deductions, with no added interest.
- 4
Return the balance within 35 days
Send the remaining balance and the itemized statement to the tenant's forwarding address within 35 days of move-out. Missing this deadline is the single most common way landlords lose a deposit dispute.
Alabama security deposit FAQ
How much can a landlord charge for a security deposit in Alabama?
1 month's rent.
How long does a landlord have to return a security deposit in Alabama?
A landlord generally has 35 days after the tenant moves out to return the deposit or send an itemized statement of deductions.
Is interest required on security deposits in Alabama?
No statewide interest requirement.
Does Alabama require the deposit to be held in a separate account?
Alabama does not impose a statewide separate-account requirement, though keeping deposits separate is still good practice.
What happens if a landlord wrongfully withholds a deposit in Alabama?
Willful violation can allow the tenant to recover the deposit plus damages.
Related free tools
Deposit laws in other states
This page summarizes general state-level rules as of 2026 and does not cover city or county ordinances, which can be stricter. Verify against the statute cited above (Ala. Code § 35-9A-201) or with a local attorney before relying on it.