Indiana Security Deposit Demand Letter

In Indiana a landlord must mail an itemized list of damages and return the balance of your security deposit within 45 days. Miss the deadline and the landlord loses the right to deduct anything. Attorney review available.

Introduction

A security deposit demand letter is a written demand an Indiana tenant sends a former landlord to recover a security deposit that has not been returned, before filing in small claims court. In Indiana the landlord must mail an itemized list of any damages claimed against the deposit no later than 45 days after the tenant's occupancy ends (Indiana Code 32-31-3-14), and return the balance of the deposit within that same 45-day period (IC 32-31-3-12(a)). If the landlord does not mail the itemized list within 45 days, the landlord is deemed to agree that no damages are due and must immediately remit the full deposit (IC 32-31-3-15). A deposit may be used only for actual damage that is not ordinary wear and tear, for unpaid or early-termination rent, for the last rental period if the written agreement so provides, and for unpaid utility or sewer charges (IC 32-31-3-13). If a landlord fails to return the deposit due, the tenant may recover the full amount plus reasonable attorney's fees (IC 32-31-3-12(b)); Indiana does not add a two or three times multiplier. If the demand is ignored, an Indiana tenant can sue in small claims court, where the claim limit is $10,000 (IC 33-29-2-4). DocDraft builds your Indiana security deposit demand letter from your facts, with attorney review available before you send it.

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Key Things to Know

  1. 1

    A security deposit demand letter is a written demand an Indiana tenant sends a former landlord to recover a deposit withheld past the state deadline, before taking the landlord to small claims court.

  2. 2

    The landlord must return the deposit, less any itemized deductions, no later than 45 days after termination of the rental agreement and delivery of possession (Indiana Code 32-31-3-12(a)).

  3. 3

    The landlord must mail a written itemized list of the damages claimed against the deposit within 45 days after the termination of occupancy, with the estimated cost of repair for each item (IC 32-31-3-14).

  4. 4

    If the landlord fails to mail that itemized list within 45 days, the landlord is deemed to agree that no damages are due and must immediately remit the full security deposit (IC 32-31-3-15).

  5. 5

    If the landlord fails to return the deposit due, the tenant may recover all of the security deposit due plus reasonable attorney's fees; Indiana has no two or three times statutory multiplier (IC 32-31-3-12(b)).

  6. 6

    A deposit may be used only for actual damage that is not ordinary wear and tear, for unpaid or early-termination rent, for the last rental period if the written agreement so provides, and for unpaid utility or sewer charges (IC 32-31-3-13).

  7. 7

    If the demand is ignored, an Indiana tenant can sue in small claims court, where the claim limit is $10,000 (IC 33-29-2-4).

Key decisions before you file

Before you file a Security Deposit Demand Letter in Indiana, a few decisions shape the document: which option to choose and what each one means. The Security Deposit Demand Letter guide walks through them.

Open the Security Deposit Demand Letter guide

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[YOUR NAME] [YOUR CURRENT ADDRESS] [CITY, INDIANA ZIP] [EMAIL] [PHONE]

[DATE]

[LANDLORD / PROPERTY MANAGER NAME] [LANDLORD ADDRESS] [CITY, INDIANA ZIP]

Re: Demand for return of security deposit for [RENTAL ADDRESS, UNIT #], Indiana

Dear [LANDLORD NAME]:

I rented the property at [RENTAL ADDRESS] in Indiana from [LEASE START DATE] to [MOVE-OUT DATE], and I paid a security deposit of $[DEPOSIT AMOUNT] at the start of the tenancy. I terminated the rental agreement, delivered possession, and gave you my forwarding address on [DATE].

Under Indiana Code 32-31-3-14, you were required to mail me a written itemized list of any damages claimed against the deposit not more than 45 days after the termination of my occupancy, and under IC 32-31-3-12(a) to return the balance of the deposit within that same 45-day period. That deadline has passed. To date I have received [nothing / only $AMOUNT / an itemized list I dispute for the reasons below].

Under IC 32-31-3-15, a landlord who fails to mail the itemized list of damages within 45 days is deemed to agree that no damages are due and must immediately remit the full security deposit. Because you did not provide a proper itemized list within the 45 days required, the full deposit is due.

Under IC 32-31-3-13 a security deposit may be used only for actual damage that is not the result of ordinary wear and tear, for unpaid rent or rent owed for early termination, for the last rental period where the written agreement so provides, and for unpaid utility or sewer charges that are my obligation. You may not keep any part of the deposit for ordinary wear and tear. The deductions you claimed are improper because [explain: ordinary wear and tear, no itemized list provided within 45 days, amounts unsupported].

I am owed $[AMOUNT STILL DUE]. I demand that you return this amount to me at the address above by [DEADLINE DATE, for example 14 days from this letter].

If I do not receive full payment by that date, I intend to file in Indiana small claims court, where the claim limit is $10,000 (IC 33-29-2-4). Under IC 32-31-3-12(b), if you fail to return the deposit due, I may recover all of the security deposit due plus reasonable attorney's fees. Indiana does not add a two or three times multiplier, but the full deposit and my attorney's fees can still exceed the amount you withheld.

Please send payment to the address above. I am keeping a copy of this letter and proof of its delivery.

Sincerely,


[YOUR NAME]

Note: This is an Indiana security deposit demand letter drawn from Indiana Code 32-31-3. Indiana sets the 45-day deadline to return the deposit with an itemized list of damages, and provides for recovery of the full deposit plus reasonable attorney's fees. For the generic template and other states, see the Security Deposit Demand Letter hub.

Indiana Requirements for Security Deposit Demand Letter

45-Day Return Deadline

In Indiana the landlord must return the deposit, less any itemized deductions, no later than 45 days after termination of the rental agreement and delivery of possession (Indiana Code 32-31-3-12(a)). Your demand letter should state that this deadline has passed.

Itemized List of Damages Within 45 Days

An Indiana landlord who keeps any part of the deposit must mail the tenant a written itemized list of the damages claimed within 45 days after termination of occupancy, stating the estimated cost of repair for each item and enclosing a check for the balance (Indiana Code 32-31-3-14).

Missing Notice Means the Full Deposit Is Due

If the landlord fails to mail the itemized list of damages within 45 days, the landlord is deemed to agree that no damages are due and must immediately remit the full security deposit (Indiana Code 32-31-3-15). A late or missing itemized list defeats the deductions.

Full Deposit Plus Attorney's Fees, No Multiplier

If a landlord fails to return the deposit due, an Indiana tenant may recover all of the security deposit due plus reasonable attorney's fees (Indiana Code 32-31-3-12(b)). Indiana has no two or three times statutory multiplier, but the deposit and fees can exceed the amount withheld.

Permitted Uses of the Deposit

An Indiana deposit may be used only for actual damage that is not ordinary wear and tear, for rent in arrears or rent owed for early termination, for the last rental period if the written agreement so provides, and for unpaid utility or sewer charges that are the tenant's obligation (Indiana Code 32-31-3-13).

No Deduction for Ordinary Wear and Tear

A security deposit may be used only for actual damage that is not the result of ordinary wear and tear (Indiana Code 32-31-3-13). Charges for normal use, such as worn carpet or faded paint, are not a permitted basis to keep the deposit and can be disputed.

Send With Proof of Delivery and a Forwarding Address

Send the demand to the landlord's address using a trackable method such as certified mail with return receipt, and provide your forwarding address so the landlord cannot claim it lacked one. Keep a copy of the letter and the delivery record for a later small claims filing.

Small Claims Limit

If the demand is ignored, an Indiana tenant may sue in small claims court, where the claim limit is $10,000 (Indiana Code 33-29-2-4). Filing promptly after the demand deadline passes is the practical course.

Frequently Asked Questions

It is a written demand an Indiana tenant sends a former landlord to recover a security deposit the landlord did not return within the 45 days that Indiana Code 32-31-3-12(a) and 32-31-3-14 allow. The letter states the amount owed, disputes any improper deductions, and asks for payment by a set date. It documents that you asked for the deposit before filing in small claims court, and it can note that a landlord who missed the 45-day itemized-notice deadline must remit the full deposit under IC 32-31-3-15.

An Indiana security deposit demand letter is an informal written request that costs nothing to send and asks the landlord to pay before any case is filed. Small claims court is a formal case you file, usually after the demand is ignored, where the claim limit is $10,000 (Indiana Code 33-29-2-4). The demand letter often resolves the dispute on its own, and if it does not, it becomes evidence that you tried to settle first and that the landlord was on notice of the deadline.

In Indiana the landlord must mail a written itemized list of any damages claimed against the deposit no later than 45 days after the termination of occupancy (Indiana Code 32-31-3-14), and return the balance of the deposit within that same 45-day period (IC 32-31-3-12(a)). The clock runs from when you terminate the rental agreement and deliver possession. If 45 days pass with no deposit and no itemized list, a demand letter is the usual next step before small claims court.

Indiana does not add a two or three times multiplier. If a landlord fails to return the deposit due, the tenant may recover all of the security deposit due plus reasonable attorney's fees (Indiana Code 32-31-3-12(b)). Separately, a landlord who fails to mail the itemized list of damages within 45 days is deemed to agree that no damages are due and must immediately remit the full deposit (IC 32-31-3-15). Between the full deposit and your attorney's fees, a wrongful withholding can cost the landlord more than the amount kept.

An Indiana landlord may use the deposit only for actual damage to the unit that is not the result of ordinary wear and tear, for rent in arrears or rent owed for early termination, for the last rental period where the written agreement says the deposit serves as the last payment of rent, and for unpaid utility or sewer charges that are your obligation (Indiana Code 32-31-3-13). The landlord may not keep any part of the deposit for ordinary wear and tear, and deductions outside these categories can be disputed in your demand letter.

Yes. Within 45 days after the termination of occupancy, an Indiana landlord who keeps any part of the deposit must mail the tenant a written itemized list of the damages claimed, stating the estimated cost of repair for each item, and enclose a check for the balance of the deposit (Indiana Code 32-31-3-14). If the landlord fails to provide that list within 45 days, the landlord is deemed to agree that no damages are due and must immediately remit the full deposit (IC 32-31-3-15).

An Indiana small claims action carries a claim limit of $10,000 (Indiana Code 33-29-2-4). A deposit claim can include the full security deposit due plus reasonable attorney's fees under IC 32-31-3-12(b). Indiana does not add a two or three times multiplier, so the recovery is the deposit due and your fees rather than a multiple of the deposit. Sending your demand letter first and filing promptly is the practical approach.

An Indiana demand letter should identify you and the landlord, give the rental address and the dates of the tenancy, state the deposit amount and your forwarding address, and note that the 45-day deadline under Indiana Code 32-31-3-14 and 32-31-3-12(a) has passed. It should dispute any improper deductions, state the exact amount owed, and demand payment by a specific date. Noting that a landlord who missed the itemized-notice deadline must remit the full deposit under IC 32-31-3-15, plus the attorney's fees available under IC 32-31-3-12(b), reinforces the demand.