Security Deposit Interest Calculator — New York
Calculate the interest you owe a New York tenant on their security deposit, using the state's own rule and statute.
The rate equals what your bank actually paid. Enter your account's rate for an accurate figure.
Interest owed to tenant
$4.06
- Time held
- 2.03 yrs
- Total to return
- $2,004.06
New York rule
In buildings of 6+ units, deposits must be placed in an interest-bearing NY bank account; the tenant gets the interest minus a 1% annual administrative fee the landlord may keep.
Applies to: Buildings with six or more units.
When paid: Annually; landlord may retain a 1% administrative fee.
Last verified June 12, 2026.
Not legal advice. LandlordKit provides general informational tools, not legal advice. Landlord-tenant laws change and vary by city and county. Verify the cited statute and consult a licensed attorney before acting on any result.
How New York treats security deposit interest
In buildings of 6+ units, deposits must be placed in an interest-bearing NY bank account; the tenant gets the interest minus a 1% annual administrative fee the landlord may keep.
Scope
Buildings with six or more units.When it must be paid: Annually; landlord may retain a 1% administrative fee.
Worked example
Example: a $1,500.00 deposit held for 2 years at 0.10% per year. Simple interest owed ≈ $3.00, so the landlord returns about $1,503.00 in total. (Rates can change year to year — confirm the current figure.)Last verified June 12, 2026.
New York security deposit obligations
Even where interest isn't required, New York still regulates the deposit itself: you generally must return it within 14 days of move-out (N.Y. Gen. Oblig. Law § 7-108). You must include an itemized statement of any deductions. Loss of the right to retain any deposit if late.
Open the New York deposit return tracker to confirm the deadline and build an itemized deductions statement.
New York security deposit interest FAQ
Do landlords have to pay interest on security deposits in New York?+
Yes. In buildings of 6+ units, deposits must be placed in an interest-bearing NY bank account; the tenant gets the interest minus a 1% annual administrative fee the landlord may keep. (N.Y. Gen. Oblig. Law § 7-103).
How is security deposit interest calculated in New York?+
Interest is simple (non-compounded). Multiply the deposit by the annual rate and by the number of years held. Interest accrues from the start of the tenancy.
When must New York landlords pay the interest to the tenant?+
Annually; landlord may retain a 1% administrative fee.
Does the New York security deposit interest law apply to every rental?+
Not necessarily. Buildings with six or more units. Check the statute (N.Y. Gen. Oblig. Law § 7-103) for the exact scope.
When must a New York landlord return the security deposit?+
Generally within 14 days of move-out (N.Y. Gen. Oblig. Law § 7-108). Use the LandlordKit deposit return tracker for the exact rule and an itemized statement.
Is the LandlordKit security deposit interest calculator free?+
Yes — it's completely free, requires no signup, and you can download a PDF interest statement to give your tenant.
Other states
Need the full picture? See the security deposit interest calculator for all states.