Most residential landlords require tenants to pay a security deposit to cover any repairs needed when the tenant moves out, or to cover the tenant’s failure to pay the last month's rent.

Laws vary from state to state, but many states have statutes that provide the maximum amount of security deposit a landlord may require for a residential lease and the costs for which the landlord may use the security deposit (cleaning, repairs, unpaid rent) following termination of the lease.

These laws also provide a specific deadline (often 30-60 days) for the landlord to return the tenant’s security deposit following termination of the lease—after deducting any amount properly withheld, as allowed by law.

In Arkansas, the regulation of security deposits for residential leases is governed by state law. Arkansas does not have a statutory limit on the maximum amount a landlord can charge for a security deposit. However, landlords are generally expected to keep security deposits reasonable. Upon termination of the lease, Arkansas law requires landlords to return the security deposit within 60 days. The landlord may use the security deposit to cover unpaid rent, damages beyond normal wear and tear, and other breaches of the lease agreement. If deductions are made, the landlord must provide the tenant with an itemized list of damages and the associated costs. If the landlord fails to return the security deposit or provide the itemized list within the 60-day period, the tenant may be entitled to recover the deposit plus damages, which could include a penalty of up to twice the amount of the deposit withheld, plus attorney's fees.