Security Deposit Interest in Wisconsin: No State Requirement (2026)
Wisconsin does not require landlords to pay interest on security deposits; deposit rules live in Wis. Stat. ch. 704 and Admin. Code ch. ATCP 134 … Calculator, statute citation, Last Verified date o
Quick answer
No — Wisconsin law does not require landlords to pay interest on security deposits. Wisconsin does not require landlords to pay interest on security deposits; deposit rules live in Wis. Stat. ch. 704 and Admin. Code ch. ATCP 134 (21-day return, itemization), with no interest mandate. The rule comes from Wis. Stat. § 704.09 (deposit accounting) + Wis. Admin. Code ch. ATCP 134 (Residential Rental Practices). State statute (official text) · 2026-10-28
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What Wisconsin law does — and does not — require
Wisconsin has no statewide statute requiring interest on security deposits. Wisconsin does not require landlords to pay interest on security deposits; deposit rules live in Wis. Stat. ch. 704 and Admin. Code ch. ATCP 134 (21-day return, itemization), with no interest mandate.
The statute that governs deposits in Wisconsin, Wis. Stat. § 704.09 (deposit accounting) + Wis. Admin. Code ch. ATCP 134 (Residential Rental Practices), covers how and when the deposit itself must be returned — it simply does not mandate interest on top.
How interest must be paid
Interest accrues as N/a - no statutory interest requirement. N/a - deposit accounting/refund due within 21 days after tenancy termination and delivery of possession; no interest payment obligation.
Who the law applies to
All residential tenancies statewide; ATCP 134.06 governs what deposits may be charged/withheld and the 21-day return deadline; no interest obligation.
Cities in Wisconsin that require interest
Madison historically required simple interest (paid as rent credit) on deposits exceeding half a month's rent, but a 2011 state law generally eliminated deposit-interest requirements and preempted stricter local rules (State Bar of Wisconsin, WisBar). The current Tenant Resource Center guide still mentions a narrow exception (deposit more than half the monthly rent held more than a year) - unresolved; verify Madison General Ordinances ch. 32 before relying on it. Milwaukee: no interest requirement found.
States that do require deposit interest
Wisconsin has no statewide requirement. If you are moving or own rentals across state lines, these states do — each rate is the statutory value verified on the state page:
| State | Statutory rate |
|---|---|
| Massachusetts | 5% per annum, or the lesser amount of interest actually received from |
| Ohio | 5% per annum |
| Maryland | greater of 1.5%/year or U.S. Treasury 1-year yield curve rate (leases |
| Minnesota | 1% per annum |
| New York | Interest actually accrued/paid on the deposit in the interest-bearing |
The statute behind it
| Field | Value | | --- | --- | --- | | Citation | Wis. Stat. § 704.09 (deposit accounting) + Wis. Admin. Code ch. ATCP 134 (Residential Rental Practices) | | Official text | docs.legis.wisconsin.gov | | Last verified | 2026-10-28 |
Cross-checked against: Tenant Resource Center - Security Deposits (nonprofit; 'Does the law require a security deposit to accrue interest? No.'), WisBar (State Bar of Wisconsin) - 2011 law eased deposit rules and generally eliminated the interest requirement.
Statutes get amended. If you are relying on this page — for a move-out, a dispute, or a lease draft — click through to the official text and confirm the current wording.
FAQ
Does Wisconsin require landlords to pay interest on security deposits?
No. Wisconsin law does not mandate interest; whatever the lease says governs. Madison historically required simple interest (paid as rent credit) on deposits exceeding half a month's rent, but a 2011 state law generally eliminated deposit-interest requirements and preempted stricter local rules (State Bar of Wisconsin, WisBar). The current Tenant Resource Center guide still mentions a narrow exception (deposit more than half the monthly rent held more than a year) - unresolved; verify Madison General Ordinances ch. 32 before relying on it. Milwaukee: no interest requirement found.
How is deposit interest calculated in Wisconsin?
Wisconsin does not require landlords to pay interest on security deposits; deposit rules live in Wis. Stat. ch. 704 and Admin. Code ch. ATCP 134 (21-day return, itemization), with no interest mandate. The calculator at the top of this page reflects Wisconsin's rules where a numeric value exists.
When do I get the interest?
N/a - deposit accounting/refund due within 21 days after tenancy termination and delivery of possession; no interest payment obligation.
Can my lease require the landlord to pay interest anyway?
Yes — a lease can always give you more than state law requires, never less. If your Wisconsin lease promises interest, that promise is enforceable as a contract even though no statute mandates it.
Independent second source · 2026-10-28Related guides
- All states: security deposit interest by state · rent increase rules by state
- Tools: deposit interest calculator · rent increase calculator
- Neighboring states: Illinois · Indiana
This page is information, not legal advice — see the full disclaimer.