New York General Obligations Law Section 7-108, amended by HSTPA in 2019, caps residential security deposits in Westchester at one month's rent and requires return within 14 days of move-out with an itemized statement of any deductions.
Under GOL Section 7-108, Westchester landlords cannot collect more than one month's rent as a security deposit, regardless of pets, credit history, or unit type. The deposit must be held in a NY-chartered bank if the building has six or more units, with annual interest paid to the tenant minus a 1% administrative fee. Within 14 days after the tenant vacates, the landlord must return the deposit or provide an itemized list of deductions for damage beyond ordinary wear and tear. Failure to comply forfeits the right to retain any portion.
Charging excess deposits or missing the 14-day return deadline forfeits the deposit and exposes the landlord to double-damages claims in small-claims court.
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