Rent Deposits vs Security Deposits in Manitoba: Rules Explained

Understanding what landlords can legally collect as a deposit is vital for tenants in Manitoba. Provincial law limits which deposits are allowed, the maximum amount, and how returns must be handled. This guide clarifies the rules for security deposits (often called "damage deposits") versus any form of rent deposit, and explains the steps to protect your rights.

Deposit Rules for Manitoba Tenants

In Manitoba, tenancy deposits are regulated by the Residential Tenancies Act (RTA). Only specific types of deposits are permitted:

• Security (damage) deposit: Permitted, but capped at half a month's rent.
• Last month's rent or "pre-paid rent" deposits: Prohibited. Landlords cannot demand or accept rent for future months as a condition of tenancy.

For more on general deposit principles, see Understanding Rental Deposits: What Tenants Need to Know.

What Is a Security Deposit?

A security deposit is an upfront amount collected by the landlord to cover potential damages (not normal wear and tear) or unpaid rent at the end of the tenancy. The rules include:

• Cannot exceed 50% of one month's rent
• Must be deposited into a trust account and must accrue interest set yearly by provincial regulation
• Returned to the tenant (with interest) following move-out, unless lawfully withheld for damages, rent, or some utilities

If you are planning your move, it's important to budget for the security deposit and keep your receipt as proof of payment.

Rent Deposits: Not Allowed in Manitoba

Landlords may not require advance deposits for future rent (such as "last month's rent"). If you are asked for such a payment, you can refer them to the provincial rules and refuse.

Key Procedures, Forms, and How to Protect Your Deposit

Both landlords and tenants must follow proper procedures around deposits. The Manitoba Residential Tenancies Branch (RTB) oversees disputes and enforces these rules.

Essential Forms for Security Deposits

• Security Deposit Return Request (RTB Form 13):
  If your landlord does not return your security deposit and interest within 14 days after the tenancy ends, you can submit this form to the RTB.
  Download Security Deposit Return Request Form (Form 13)
• Condition Report:
  Use the Manitoba RTB’s Condition Report template when moving in and out. A careful inspection ensures deposit deductions can be fairly reviewed.
  Download Condition Report Form

Always complete an initial and exit walkthrough with your landlord, taking photos or videos and completing a condition report. This evidence is invaluable if there's a dispute about damages.

What Happens at Move-Out?

When you end your tenancy, the landlord has 14 days after you leave (or after you provide your forwarding address) to return your deposit with interest, or give a written explanation of any deductions. If you disagree with deductions, apply to the RTB using Form 13 above.

For a step-by-step overview, see our guide: How to Get Your Security Deposit Back with Interest When Moving Out.

Your Rights: Summary

• Only security (damage) deposits up to 1/2 month's rent are legal, and never pre-paid rent or other deposits
• Deposits must earn interest and be kept in trust
• You are entitled to a full or partial return after moving out, minus justified deductions
• Disputes go through the Manitoba Residential Tenancies Branch (RTB)

Summing up, Manitoba offers strong protections against unfair security deposit and rent deposit demands from landlords.

For an overview of rights and responsibilities in your province, see Tenant Rights and Landlord Rights in Manitoba.

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Frequently Asked Questions

1. Can my landlord in Manitoba ask for both a security deposit and a last month’s rent?
   No. Landlords may only request a single security deposit (up to half a month's rent). Advance payment of additional rent, such as last month's rent, is not permitted by law.
2. How soon must my security deposit be returned after moving out?
   The landlord must return your security deposit and accrued interest within 14 days of your move-out (or after you provide your forwarding address), or explain in writing why part or all is being withheld.
3. What can a landlord keep from my deposit?
   Deductions can only be made for unpaid rent, specified utilities, or documented damage beyond normal wear and tear.
4. How can I dispute a deposit deduction?
   If you disagree with deductions, file a Security Deposit Return Request (Form 13) with the RTB and include all relevant evidence such as your move-in/move-out condition reports and photos.
5. Are pet or key deposits allowed in Manitoba?
   No. Only one security (damage) deposit is allowed; landlords cannot require additional deposits for pets, keys, or other purposes.

Conclusion: Key Takeaways

• Manitoba law forbids rent deposits – only a security deposit (max 1/2 month’s rent) is allowed.
• Your landlord must return the deposit with interest or justify any deduction within 14 days of move-out.
• Disagreements can be appealed to the RTB using the proper forms and documentation.

Need Help? Resources for Tenants

• Manitoba Residential Tenancies Branch (RTB) – deposit complaints, disputes, and information.
• Tenants’ Rights Information: Official Tenant FAQ
• Support hotlines: RTB General Inquiry line at 204-945-2476 (Winnipeg) or toll-free 1-800-782-8403

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1. See the Residential Tenancies Act of Manitoba for full legal text.
2. Official forms available from the Manitoba RTB forms portal.
3. Manitoba Residential Tenancies Branch: For tenant assistance, deposit disputes, and guidelines.

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