PEI residential tenancy
PEI security deposits: limits, interest and return
Security deposit ceiling, the 15-day return or claim deadline and Form 2A/2B remedies.
At the beginning of the tenancy
The landlord may require one security deposit when entering the tenancy; not multiple separate deposits for the same unit. For rent paid monthly, the general ceiling is one month’s rent; for rent paid weekly, one week’s rent.
Get a receipt showing the amount, date received and rental address. The landlord is to place the money in a prescribed interest-bearing arrangement within two banking days; special trust-account requirements apply to landlords with three or more units.
Move-out and the 15-day clock
After the tenancy ends, keep move-out photos, keys-return proof, a forwarding address and the move-out inspection report. The landlord normally needs to return the deposit plus interest or file the necessary Form 2B claim within 15 days after the tenancy ends or is assigned, subject to the Act’s exceptions.
The tenant’s written agreement at the end of the tenancy to retention of a specific amount, or an existing Director’s order, can change the need for a new claim. An unauthorized retention can expose the landlord to a double-deposit consequence. Forwarding-address exception: The Rental Office explains that if the tenant has not provided an address within six months after the tenancy ends and the landlord has made reasonable efforts to return the deposit without other contact details, the landlord may be allowed to keep it. This is not a general right to disregard the 15-day rule; keep evidence of all contact attempts.
How to challenge a withheld deposit
Ask in writing for the ledger, inspection report and details of deductions; keep copies. A tenant can file Form 2A if the deposit is not returned or the claim is disputed.
Use the Rental Office interest calculator for a historical interest amount. This website estimates statutory time and ceilings, not interest that varies over the tenancy.