Your lease will generally contain a provision about a security deposit.  Most provisions
give the landlord the right to apply the deposit as compensation for damages (other than normal
wear and tear) which you cause to the premises.  Soon after moving in, you should make a
detailed report of the condition of the premises so as to minimize your chances of being saddled
for pre-existing damage.


     Do not fail to pay your last month's rent simply because you have a security deposit which
would cover the amount.  Generally, neither you nor the landlord are allowed to apply that money
to rent owing.  If you do so, you may be forced to defend a rent claim action initiated by your
landlord.  Absent a legitimate defense, you will then be liable not only for the rent, but also court
costs and, if your lease so provides, your landlord's attorney's fees.


     If you are renting from a landlord who owns 25 or more rental units in a contiguous area,
your landlord must pay interest upon the security deposit if he/she holds it for more than six
months.  The interest must be paid within 30 days after the end of each twelve month rental
period.  If you rent in the city of Urbana you are entitled to interest on all non-owner occupied
property.  Your landlord is excused from such payment only if you were in default under the
terms of the lease.  If you rent from a landlord owning a structure containing 5 or more rental
units, your landlord cannot withhold any part of your security deposit as compensation for
damages unless he/she has, within 30 days of the date upon which you vacate the premises,
furnished you with an itemized statement of the damages for which you were allegedly responsible
and attached estimates or paid receipts for the cost of repair.  If your landlord gives you estimates
only, paid receipts must be provided within 30 days from the date the estimates were furnished.  If
your landlord fails to comply with these requirements, he/she must return the security deposit in
full within 45 days.


     Before you move out, it's a good idea to contact your landlord and ask that he/she inspect
the premises with you.  This way you can find out what damages the landlord thinks you have
done.  You can then either dispute the damages or make an effort to repair them.  In any event, if
your landlord keeps part or all of your security deposit, and you believe it to be unjustified,
contact him/her and try to work the problem out.  If you fail, and still believe that you are entitled
to money back, you may initiate a small claims action..