Arkansas lawAccountingTrusts

Security Deposit Return in Arkansas

September 27, 2026 · LawDiver Research Team

The cap is 2 months' rent (statute applies to landlords meeting unit-count / management thresholds). The return deadline is 60 days after termination, with itemization when deductions are taken. Interest: No statewide interest requirement. That is what separates Arkansas getting a security deposit back from a generic national summary. Read Ark. Code Ann. §§ 18-16-303 to 18-16-306; §§ 18-16-501 to 18-16-507 before the background sections below. Failure to return the deposit as required can result in liability for twice the amount of the deposit.

When the deposit must be returned

60 days after termination, with itemization when deductions are taken

Interest and accounting

No statewide interest requirement.

Penalties for wrongful withholding

Failure to return the deposit as required can result in liability for twice the amount of the deposit.

A concrete Arkansas scenario

Here is one way the Arkansas pieces fit together. Change any fact and the statute may point somewhere else.

A residential tenant moves out of a Arkansas rental and the landlord has not returned the deposit.

  1. Check the cap that applied when the deposit was collected: 2 months' rent (statute applies to landlords meeting unit-count / management thresholds).
  2. Calendar the return deadline: 60 days after termination, with itemization when deductions are taken
  3. Interest, if any: No statewide interest requirement.
  4. If the landlord keeps money without the required accounting: Failure to return the deposit as required can result in liability for twice the amount of the deposit.

Arkansas’s residential deposit rules generally cap covered landlords at two months’ rent and require return within 60 days. Confirm statutory coverage thresholds. Small claims is the usual remedy for wrongful withholding.

Practical process for tenants and landlords

Arkansas’s residential deposit rules generally cap covered landlords at two months’ rent and require return within 60 days. Confirm statutory coverage thresholds. Small claims is the usual remedy for wrongful withholding.

Document the unit with dated photos or video at move-in and move-out, keep the lease and any inspection checklist, and send a dated written demand if the deadline passes without a lawful accounting.

Case law: security deposits in Arkansas

Rick MARCUM, Et Al. v. Matt WENGERT, Et Al.

Rick MARCUM, Et Al. v. Matt WENGERT, Et Al., 344 Ark. 153 (2001)

…Wengerts converted its property and also for return of the security deposit. PKT Housing Corporation later amended its complaint, requesting $10,000 for the furniture, twice the amount of the security deposits, and for punitive damages in the amount of $100,000. PKT Housing Corporation also requested attorney’s fees and costs. The Wengerts timely answered the original and amen…

Practitioners open Rick MARCUM, Et Al. v. Matt WENGERT, Et Al. when Arkansas security deposits turns on the distinction in this sentence: "Wengerts converted its property and also for return of the security deposit. PKT Housing Corporation later amended its complaint, requesting $10,000 for the furniture, twice the amount of the security deposits, and for punitive damages in the amount of $100,000." Do not lift it out of the facts the court was deciding.

PHI KAPPA TAU HOUSING CORPORATION, A/K/A PKT Housing; Rick Marcum, Individually and as President of Phi Kappa Tau

PHI KAPPA TAU HOUSING CORPORATION, A/K/A PKT Housing; Rick Marcum, Individually and as President of Phi Kappa Tau, 350 Ark. 335 (2002)

…nity’s personal property. PKT also sought the return of the security deposit. Appellees filed a counterclaim against PKT, alleging that it had breached the lease agreement, and filed third-party complaints against Marcum and Capo, individually. The jury found in favor of PKT on its replevin claim and awarded it $8,500.00 for conversion of the property and $4,000.00 for its secu…

Practitioners open PHI KAPPA TAU HOUSING CORPORATION, A/K/A PKT Housing; Rick Marcum, Individually and as President of Phi Kappa Tau when Arkansas security deposits turns on the distinction in this sentence: "PKT also sought the return of the security deposit. Appellees filed a counterclaim against PKT, alleging that it had breached the lease agreement, and filed third-party complaints against Marcum and Capo, individually." Do not lift it out of the facts the court was deciding.

Thea CLEMENS v. FIRST NATIONAL BANK OF BERRYVILLE, AR.

Thea CLEMENS v. FIRST NATIONAL BANK OF BERRYVILLE, AR., 286 Ark. 290 (1985)

…h an employee, were authorized signatories. The $46,000 was deposited in the liquor store account. In September 1979, Jack Howes told Burton George, president of appellee bank, that he wanted to redeem the IDS stock to pay off the note to the bank and increase the store’s inventory. The bank prepared a letter of redemption and sent it via Mr. Howes to Mrs. Howes for her signatu…

Arkansas opinions such as Thea CLEMENS v. FIRST NATIONAL BANK OF BERRYVILLE, AR. are cited where security deposits is disputed. The court stated: "The $46,000 was deposited in the liquor store account. In September 1979, Jack Howes told Burton George, president of appellee bank, that he wanted to redeem the IDS stock to pay off the note to the bank and increase the store’s inventory." That is the language to brief; the rest of the decision supplies the procedural posture.

Brigiette DUHON v. STATE of Arkansas — Purtle, J., dissenting

Brigiette DUHON v. STATE of Arkansas — Purtle, J., dissenting, 299 Ark. 503 (1989)

…ndlord’s agent claimed $200.00 of the amount paid was for a security deposit. However, it was never refunded.. The facts of this case do not convince me that the appellant failed to pay her rent without justification. The constitutionality of Ark. Code Ann. § 18-16-101 (1987) is ripe for adjudication. Gorman was decided with contemporary reasoning. There we rejected forcible se…

Practitioners open Brigiette DUHON v. STATE of Arkansas — Purtle, J., dissenting when Arkansas security deposits turns on the distinction in this sentence: "However, it was never refunded.. The facts of this case do not convince me that the appellant failed to pay her rent without justification. The constitutionality of Ark. Code Ann. § 18-16-101 (1987) is ripe for adjudication. Gorman was decided with contemporary reasoning." Do not lift it out of the facts the court was deciding.

Rick MARCUM, President of Phi Kappa Tau Housing Corp. a/k/a PKT Housing, Rick Marcum, Individually, and Anthony

Rick MARCUM, President of Phi Kappa Tau Housing Corp. a/k/a PKT Housing, Rick Marcum, Individually, and Anthony, 70 Ark. App. 477 (2000)

…e building, and appellees later refused to return it or the security deposits to PKT. In February 1996, Marcum, as president of PKT, filed a complaint against appellees for conversion of PKT’s furniture, valued at $10,000, and for the return of $8,000 in security deposits and $2,000 for kitchen renovations. In response, appellees alleged that the personal property had been aban…

On security deposits, Rick MARCUM, President of Phi Kappa Tau Housing Corp. a/k/a PKT Housing, Rick Marcum, Individually, and Anthony speaks to the Arkansas dispute in this passage: "PKT. In February 1996, Marcum, as president of PKT, filed a complaint against appellees for conversion of PKT’s furniture, valued at $10,000, and for the return of $8,000 in security deposits and $2,000 for kitchen renovations." The surrounding opinion shows how the court applied that language to the record.

PREFERRED MEDICAL ASSOCIATES, LLC; Adam Wozniak, M.D.; And Dianna Owen, Appellants v. the ABRAHAM FAMILY TRUST

PREFERRED MEDICAL ASSOCIATES, LLC; Adam Wozniak, M.D.; And Dianna Owen, Appellants v. the ABRAHAM FAMILY TRUST, 2017 Ark. App. LEXIS 272 (2017)

…, along with her co-defendants, was seeking a refund of the security deposit and the rent paid. She further alleged in a “grievance sheet” attached to her counterclaim that she was “paying her portion of the lease” and that her husband had put up the $20,000 deposit. She also testified at trial that she was “part of’ the lease. Additionally, the lease provides in pertinent part…

PREFERRED MEDICAL ASSOCIATES, LLC; Adam Wozniak, M.D.; And Dianna Owen, Appellants v. the ABRAHAM FAMILY TRUST is worth reading on Arkansas security deposits because the court put the point in its own words: "She further alleged in a “grievance sheet” attached to her counterclaim that she was “paying her portion of the lease” and that her husband had put up the $20,000 deposit. She also testified at trial that she was “part of’ the lease." Use that passage as the starting point, then read the facts that precede it.

Key takeaways

  • Maximum deposit: 2 months' rent (statute applies to landlords meeting unit-count / management thresholds)
  • Return deadline: 60 days after termination, with itemization when deductions are taken
  • Interest: No statewide interest requirement.
  • Penalties: Failure to return the deposit as required can result in liability for twice the amount of the deposit.
  • Primary authority: Ark. Code Ann. §§ 18-16-303 to 18-16-306; §§ 18-16-501 to 18-16-507.

Deposit limits in Arkansas

2 months' rent (statute applies to landlords meeting unit-count / management thresholds)

Frequently asked questions

How much can a landlord charge for a security deposit in Arkansas?

2 months' rent (statute applies to landlords meeting unit-count / management thresholds)

How long does a landlord have to return my deposit?

60 days after termination, with itemization when deductions are taken

What if my landlord keeps the deposit without an itemized list?

Failure to return the deposit as required can result in liability for twice the amount of the deposit.

This guide covers Arkansas residential security-deposit law as of 2026. Commercial leases and local ordinances can differ — verify the statute that applies to your unit.

Security Deposit Laws in Arkansas (2026) | LawDiver