Action Center: Southeast Region

The action center is where information about legislative actions around the country are gathered and posted for the benefit of all members. If you have any information to add here to the Southeast Region (Virginia, North Carolina, South Carolina, Georgia, Florida, Kentucky, Tennessee, Alabama, Mississippi), e-mail govtaffairschair@narpm.org.

2009 Security Deposit Interest Rate Update

(for properties managed under the Virginia Residential Landlord Tenant Act)

The Federal Reserve Discount Rate as of January 1, 2009 was 0.5%. This means per section 55-248.15:1 of the Virginia Residential Landlord Tenant Act you should accrue interest for qualifying deposits held during 2009 at an annual rate of 0% this year on security deposits held in excess of thirteen months.

§ 55-248.15:1. Security deposits. (Section B) (Paragraph 1) B. The landlord shall:
1. Accrue interest at an annual rate equal to four percentage points below the Federal Reserve Board discount rate as of January 1 of each year on all property or money held as a security deposit. However, no interest shall be due and payable unless the security deposit has been held by the landlord for a period exceeding 13 months after the effective date of the rental agreement or after the effective date of any prior written or oral rental agreements with the same tenant, for continuous occupancy of the same dwelling unit, such security deposit earning interest which begins accruing from the effective date of the rental agreement, and such interest shall be paid only upon termination of the tenancy, delivery of possession and return of the security deposit as provided in subsection A;