If you're renting in New Brunswick, understanding the differences between security deposits and rent deposits is essential. This guide helps tenants know what deposits landlords can legally request, how those funds are handled, and how to protect your rights under New Brunswick's rental laws.
What Is a Security Deposit in New Brunswick?
In New Brunswick, a security deposit is money paid to the landlord, held as security against potential damages or unpaid rent during your tenancy. It is regulated by the Residential Tenancies Act (New Brunswick)[1] and overseen by the Office of Rentalsman, New Brunswick's official tenancy authority (learn more here).
- Maximum amount: Landlords can only request up to one week's rent for a week-to-week tenancy or one month's rent for a month-to-month or longer lease.
- How it’s handled: Landlords must deposit your security deposit with the Office of Rentalsman, not keep it personally.
Are Rent Deposits Allowed?
Unlike security deposits, rent deposits are not permitted in New Brunswick. Landlords cannot require you to pay last month's rent, post-dated cheques, or "hold" deposits as a condition for renting. Only a security deposit may be collected, following the regulations above.
How Security Deposits Work: From Payment to Return
When you provide your security deposit, your landlord must:
- Use the official Form 2: Security Deposit – Receipt (download here)
- Submit the deposit to the Office of Rentalsman within 15 days of receipt
- Provide you with a receipt and proof of registration
When you move out, you can request your deposit back, including any interest accrued.
Getting Your Deposit Back
At the end of your tenancy, you should:
- Request return of your deposit using Form 3: Security Deposit – Tenant Request for Refund (access here)
- Complete a move-out inspection with your landlord if possible
- Ensure you have provided a forwarding address for deposit return
If there is a dispute—such as the landlord claiming damages—the Rentalsman will review and determine what portion of the deposit, if any, should be returned to you.
Your Rights and Protections
New Brunswick's tenancy law provides several protections for deposits:
- Landlords may only request security deposits – not rent deposits, pet deposits, or other fees.
- Security deposits must be held by the Office of Rentalsman, not the landlord.
- You are entitled to interest on your deposit, calculated and paid to you when returned.
- Any deduction (for example, property damage) must be explained and proven by the landlord.
Tenants in New Brunswick can learn about broader rights, including repairs and more, by visiting Tenant Rights and Landlord Rights in New Brunswick.
Steps If You Experience Issues
If your landlord asks for an illegal deposit or refuses to return your deposit, you can:
- Remind them only security deposits are permitted under NB law
- Document all communication and keep receipts
- Contact the Office of Rentalsman for guidance or to file a complaint
For concerns about repairs or health matters, see Health and Safety Issues Every Tenant Should Know When Renting.
If you’re exploring rental options in NB or anywhere else in Canada, you can Find rental homes across Canada on Houseme to compare listings with confidence.
FAQ: New Brunswick Deposit Rules
- Can a landlord in NB ask for last month's rent as a deposit?
No. Only security deposits are allowed. Rent deposits (like payment for the last month) cannot be collected. - How much can my landlord ask for as a security deposit?
A maximum of one week's rent (week-to-week lease) or one month's rent (month-to-month or fixed-term) is allowed. - Where does my deposit go after I pay it?
It must be transferred to the Office of Rentalsman. Landlords cannot keep it personally. - How do I get my deposit back?
Submit Form 3 after moving out and provide a forwarding address. If there’s no dispute, you should receive your deposit plus interest. - Can a landlord deduct for normal wear and tear?
No. Deductions may only be made for damages beyond normal wear and tear or unpaid rent.
Key Takeaways
- Security deposits are allowed, but rent deposits are not.
- Deposits must be held by the Office of Rentalsman, not the landlord.
- Use official forms to pay and reclaim your deposit, and know your rights if disputes arise.
By following the steps and resources above, New Brunswick tenants can better protect their deposit and ensure a fair rental experience.
Need Help? Resources for Tenants
- Office of Rentalsman (New Brunswick): Contact and Forms
- Residential Tenancies Act (New Brunswick) - Official Legislation
- Public Legal Education and Information Service of New Brunswick (PLEIS-NB) – Tenant resources & legal guidance
- New Brunswick Tenants Alliance – Advocacy and support
