Arkansas Security Deposit Law: A 2026 Landlord's Guide

Informational overview only — not legal advice. Deposit law is state and local, and legislatures amend it frequently. Confirm the current statute (Ark. Code § 18-16-304 / 305) or consult an attorney before acting.
Maximum deposit
2 months' rent
Return deadline
60 days
Interest owed?
No*
Statute
Ark. Code § 18-16-304 / 305

How much can you charge in Arkansas?

2 months' rent. The statutory deposit rules apply to landlords with six or more units (or those using managers).

Returning the deposit: the 60 days deadline

After the tenancy ends, Arkansas gives you 60 days to return the deposit. Deposit deemed forfeited only per statute; itemization required. Blowing the deadline is the single most common way landlords lose deposit disputes — courts read these statutes strictly, and in many states a late or missing itemization forfeits your right to keep anything.

What you can deduct

  • Unpaid rent and other amounts the lease authorizes
  • Damage beyond normal wear and tear — holes in walls, broken fixtures, pet damage
  • Never normal wear and tear — faded paint, carpet worn by ordinary use, minor scuffs

The dispute is almost never about the rule — it's about the evidence. Date-stamped move-in and move-out photos plus an itemized statement with receipts is what wins in small-claims court.

Interest and holding requirements

Arkansas has no general statewide requirement to pay interest on residential security deposits (local ordinances can differ — check your city). Some states in this position still regulate where deposits are held; see Ark. Code § 18-16-304 / 305 for any account or disclosure rules that apply to you.

Track every deposit — and settle it correctly when the tenant leaves

LandlordPro tracks every deposit you hold, carries it across lease renewals, walks you through the return-vs-keep settlement with an itemized record, and reminds you of Arkansas's deadline. Free to start — up to 4 units.

Start tracking deposits free →

Frequently asked questions

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

2 months' rent is the statutory maximum. See Ark. Code § 18-16-304 / 305.

How long does a Arkansas landlord have to return a security deposit?

60 days after the tenancy ends, generally with an itemized statement of any deductions. Missing the deadline can forfeit your right to deduct — and in many states triggers statutory damages.

What can a landlord deduct from a deposit in Arkansas?

Typically unpaid rent, damage beyond normal wear and tear, and other charges the lease authorizes. Normal wear and tear — faded paint, worn carpet from ordinary use — is never deductible. Documentation (move-in/move-out photos and an itemized list) is what wins disputes.

Handling Arkansas deposits with LandlordPro

LandlordPro keeps a ledger of every deposit you hold — who paid it, which lease it secures, and what happened to it. When a tenancy ends, the settlement workflow records what you returned and what you kept (with reasons), generates a tenant-facing settlement statement, and books any kept portion into your income reports correctly. Combined with the Arkansas eviction guide and move-in/move-out inspections with photos, you'll have the paper trail that deposit statutes reward.

LandlordPro is a software tool, not a law firm. This page summarizes statutes as of June 2026 for general information; amounts, deadlines, and requirements change. Verify Ark. Code § 18-16-304 / 305 or consult a licensed attorney in Arkansas before acting.