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A Step-by-Step Guide to Collecting Security Deposits

A Step-by-Step Guide to Collecting Security Deposits

Did you know that the landlord must serve the tenant with a written notice for nonpayment? Florida allows three days, excluding legal holidays and weekends.

Whether you're in Sarasota, Bradenton, or another area, you'll want to avoid this stress at all costs. Initially, if it's challenging to collect security deposits, that's a red flag you don't want to ignore.

How can you make the collection of security deposits as easy as possible? Read this step-by-step guide on collecting security deposits with ease today!

Understand the Laws for Security Deposits

Before collecting security deposits in Venice, Florida, you'll want to ensure you understand state laws. Security deposits vary state by state, including how much you can charge. There are even laws about how a security deposit needs to be stored, collected, and how you can track deductions.

Per Florida law, once you have the security deposit, you have 30 days to let the tenant know the location and details of it. Written notices must be by mail or in person. It must also include important information, such as if the tenant is entitled to the interest on the deposit, the name and address if it's a surety bond, and a disclosure.

How to Collect a Security Deposit

Security deposit collection methods must be done properly. You don't want the security deposit and first month's rent check to bounce after they move in. If not, this could mean a long eviction process that you have to pay for.

Collect It Before They Move In

Discuss the amount necessary with the tenant. The rent price and size of the deposit must be in the lease agreement. Once the lease is signed, then you can receive payment.

Online Options

Some landlords in Bradenton and the surrounding area use property management software or rent payment apps. Many tenants prefer to pay online as well.

Some benefits include the following:

  • Landlords can receive security deposits directly
  • Automated reminders to the tenant
  • Tenants can use ACH, credit card, or debit card payments
  • Prorated fees are calculated automatically

Only Collect Payment After Signing the Lease

This ensures that your tenant agrees to and understands the rental terms. It also protects the tenant since they won't pay until both the tenant and landlord sign the lease.

Don't hand over the keys until the bank clears the check. Many landlords will only accept cashier's checks, money orders, or online payments.

Tips on Collecting Security Deposits

This guide provides an overview of collecting security deposits with ease. Ensure that you're following the laws in Florida before beginning the rental process.

Are you a landlord dreaming of having more time in your day? Then contact us today! We're property managers for the Venice, Lakewood Ranch, Bradenton, and Sarasota areas.

We're here for landlords and have 24-hour emergency support lines for your convenience. If you have any questions along the way, we're happy to help!