Security deposit itemized return & interest statement (Chicago landlord)
Legal advice recommended before use.
Chicago's RLTO (Municipal Code of Chicago § 5-12-080) is unusually strict about security deposits compared to most U.S. cities. A landlord must hold the deposit in a federally insured, Illinois-located interest-bearing account, give the tenant a written receipt naming the bank, and — for RLTO-covered units — pay the tenant interest every 12 months the deposit (or prepaid rent) is held, at a rate the City Comptroller publishes each year (the published rate for calendar year 2026 was 0.01% — confirm the current year's rate before calculating, since it resets annually and this Comptroller notice is exactly the kind of figure that changes on its own clock). Before deducting for damage, the landlord must send an itemized statement within 30 days of the tenant vacating; the deposit balance is generally expected back within a similar short window. Getting the interest calculation or the itemization wrong can expose a landlord to statutory damages of two times the security deposit, plus the tenant's attorney's fees, under the RLTO's fee-shifting rule (confirm current statutory-damages language before relying on it). This letter combines both required pieces: the itemized deduction statement and the annual interest statement.
Fill it in
/ fields completedType your details on the left and watch the document fill in on the right — then download a completed PDF. Nothing is saved; it all stays in your browser.
This document uses aligned columns, so it always prints in typewriter spacing to keep them lined up.
Changes both the preview and the downloaded PDF.
Confirm the current year's Comptroller-published interest rate and the current itemization/return deadlines before sending — these are exactly the kind of city-published figures that change on their own annual clock. This is a template, not legal advice, and has not yet been reviewed by a licensed Illinois attorney.
Preview opens the real PDF in a new tab, with your details and font already applied — nothing is saved until you download or send it.
Or send it for e-signature — free with an account
Log in or create a free account to send this document for e-signature and keep a record in "My documents."
Email this PDF to me
Frequently asked questions
Does a Chicago landlord really have to pay interest on my security deposit?
For units covered by the RLTO, yes — MCC § 5-12-080 requires the deposit (and prepaid rent) to be held in an interest-bearing, Illinois-located, federally insured account, and interest is owed for each 12-month period the money is held (generally once it's been held more than 6 months). The rate is set annually by the City Comptroller and published each January — always confirm the specific year's rate rather than assuming it carries over, since it has changed from year to year (it was published as 0.01% for calendar year 2026).
Does the interest requirement apply to every Chicago rental?
No — only to units the RLTO covers. Owner-occupied buildings with 6 units or fewer are exempt from most of the RLTO, including the deposit-interest requirement (MCC § 5-12-020(a)). Confirm whether your specific building is covered before relying on this rule.
How long does a Chicago landlord have to itemize deductions?
The City of Chicago's own published RLTO security-deposit guidance describes a 30-day deadline from the date the tenant vacates for the landlord to send an itemized statement of damages before deducting anything. Confirm the current guidance, since sources vary on exactly how the 30-day itemization deadline interacts with the overall return timeline.
What happens if my landlord gets the interest or itemization wrong?
The RLTO's security-deposit provisions carry real statutory-damages exposure — commonly described as two times the deposit amount, plus the tenant's attorney's fees under the ordinance's fee-shifting rule, on top of returning the deposit itself. Confirm the exact current penalty language (MCC §§ 5-12-080, 5-12-081) before relying on a specific dollar formula, and consult an attorney if a dispute is heading to court.
Is this different from how security deposits work in Dallas or most of Texas?
Yes, significantly. Texas sets no interest requirement on security deposits at all. Chicago's interest-bearing-account and annual-interest-payment rules under the RLTO are a real, city-specific obligation with no equivalent in Dallas-Fort Worth.
Sign your Chicago lease online — free
Create a compliant Chicago lease and send it to your tenant to sign. Free for landlords.
Join the waitlist