Overview
Oklahoma does not cap the amount a landlord may collect as a security deposit, but the Oklahoma Residential Landlord and Tenant Act imposes specific requirements on how deposits must be held and returned. Notably, Oklahoma has one of the longest return timelines in the country at 45 days, and requires landlords to hold deposits in escrow accounts at federally insured financial institutions.
This guide covers everything landlords and tenants need to know about security deposits in Oklahoma.
Deposit Limits
Oklahoma law does not set a maximum security deposit amount. Key rules include:
- No statutory cap: Landlords may charge any amount they deem appropriate as a security deposit
- Escrow requirement: Landlords must hold the deposit in an escrow account at a federally insured financial institution located in Oklahoma
- Separate account: The deposit must be kept separate from the landlord's personal or business funds
- Market considerations: While there is no legal cap, market conditions typically keep deposits between one and two months' rent
Escrow Account Requirements
The landlord must maintain the security deposit in a separate escrow account. Commingling the deposit with personal funds is a violation of Oklahoma law and may result in penalties, including forfeiture of the right to retain any portion of the deposit.
cite: Okla. Stat. tit. 41, § 115(A)
Allowable Deductions
Landlords may only deduct from the security deposit for the following reasons:
- Unpaid rent: Any rent owed at the time of move-out
- Damage beyond normal wear and tear: Costs to repair tenant-caused damage
- Cleaning costs: Costs to restore the unit to its move-in condition beyond normal wear
- Lease violations: Costs arising from the tenant's breach of the lease agreement
What Constitutes Normal Wear and Tear?
Normal wear and tear includes:
- Minor scuffs on walls
- Small nail holes from hanging pictures
- Worn carpet from regular use
- Faded paint due to sunlight
- Minor marks on floors from everyday use
Damage beyond normal wear and tear includes:
- Large holes in walls
- Stained or burned carpet
- Broken windows or fixtures
- Pet damage (scratches, stains, odors)
- Excessive filth requiring professional cleaning
Return Timeline
Landlords must return the security deposit within 45 days of the tenant vacating the unit. The return must include:
- The remaining deposit amount (if any deductions were made)
- An itemized written statement listing each deduction and the amount
- The statement and any refund must be sent to the tenant's last known address or forwarding address
Important: The tenant should provide a forwarding address to the landlord in writing. If the tenant fails to provide a forwarding address, the landlord must send the deposit and statement to the tenant's last known address.
If the landlord fails to return the deposit or provide the required documentation within 45 days, the tenant may recover the full deposit amount plus damages equal to the amount wrongfully withheld.
cite: Okla. Stat. tit. 41, § 115(B)
Pre-Move-Out Inspection
Oklahoma law does not require landlords to conduct a pre-move-out inspection. However, it is recommended as a best practice for both parties to help prevent disputes over the deposit.
Recommended steps include:
- Documenting the condition of the unit with photographs or video at move-in
- Conducting a walkthrough with the tenant before move-out
- Comparing the move-out condition to the move-in documentation
- Allowing the tenant an opportunity to address any issues before the final accounting
Dispute Resolution
If a tenant believes their deposit was wrongfully withheld, they can:
- Send a demand letter to the landlord requesting the return of the deposit
- File a claim in Small Claims Court (up to $10,000)
- File a complaint with the Oklahoma Attorney General's Consumer Protection Unit
If the court finds the landlord wrongfully withheld the deposit, the tenant may recover the amount wrongfully withheld plus damages equal to the amount wrongfully withheld, along with reasonable attorney's fees. Landlords who fail to comply with escrow requirements may also face additional penalties.