Last Month's Rent Deposit in Ontario: What Landlords Can and Cannot Collect
Ontario landlords can collect a last month's rent deposit — but damage deposits, key deposits beyond cost, cleaning fees, and most other upfront charges are...
Frequently Asked Questions
Can my landlord ask for a damage deposit in Ontario?
No. Damage deposits, security deposits, and cleaning deposits are illegal under the RTA (s. 105). A landlord who collects one can be ordered to refund it through a T1 application at the LTB. If the tenant causes damage beyond normal wear and tear, the landlord's remedy is to file an L2 application after the tenant moves out.
Can my landlord keep my last month's rent deposit for damages?
No. The LMR deposit must be applied to the last rental period (s. 106(10)). A landlord cannot withhold it for damages, cleaning, or any other reason. If the landlord believes the tenant caused damage, they must file a separate L2 application at the LTB.
How much can a landlord charge for a key deposit?
Only the actual replacement cost of the key — typically $10 to $30 for a standard apartment key (O. Reg. 516/06, s. 17). The deposit must be refunded when the keys are returned. A landlord who charges $100 or more for a key deposit is almost certainly exceeding the lawful amount.
Can my landlord require post-dated cheques?
No. Section 108 of the RTA prohibits requiring post-dated cheques or any specific form of payment as a condition of the tenancy. A landlord can accept post-dated cheques if the tenant offers them voluntarily, but cannot make it a requirement.
How long do I have to file a T1 for an illegal charge?
One year from the date the charge was collected. After one year, the LTB will not accept the application. If you paid an illegal deposit, file promptly.
Contact Legal Assist
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