North Carolina Security Deposit Statute and Sources

Main statute

The main statute is the North Carolina Tenant Security Deposit Act, N.C. Gen. Stat. sections 42-50 through 42-56.

Open the official North Carolina General Statutes Article 6 PDF

Key rules from the statute

• Deposit caps depend on the tenancy period: week-to-week, month-to-month, or longer than month-to-month.
• Deposits may be used only for listed statutory purposes, including unpaid rent and damage beyond ordinary wear and tear.
• The landlord must itemize damage and mail or deliver the balance within 30 days after the tenancy terminates and possession is delivered.
• If the landlord cannot determine the full claim within 30 days, an interim accounting is due within 30 days and final accounting is due within 60 days.
• If the tenant's address is unknown, the landlord must hold any remaining balance for collection by the tenant for at least six months.
• North Carolina requires the deposit to be handled through a permitted trust account or bond arrangement.

Additional state guidance

The North Carolina Real Estate Commission publishes a tenant security deposit brochure that explains common questions about deposits, deductions, and accounting.

Open the North Carolina Real Estate Commission tenant security deposit brochure

How to use this page

Use this source page to confirm the statutory framework. Use the main guide pages for practical next steps and plain-English explanations.

Return to the North Carolina law overview