Department of Banking Commissioner Jorge Perez has announced the interest rate for rental security deposits and select other interest rates will be 0.15 percent for 2020.

The state’s deposit index is used to determine the interest rates required by statute to be paid for various accounts: rental security deposits; claims for property, funds, or money delivered to the state treasurer; mortgage escrow accounts; and public service company, certified telecommunications provider and electric supplier customer security deposits.

The index is based on average rates paid on savings deposits and must be determined annually by the banking commissioner.

Under Perez’s announcement, the 2020 interest rate for rental security deposits is 0.15 percent.

A tenant forfeits their interest for any months that they are more than 10 days late on their rent. When they move out, tenants must provide written notice of a forwarding address where the landlord may send their security deposit with interest. Landlords are required to return the security deposits of their tenants with interest or give tenants written notice of damages being claimed within 30 days of when tenants move.