dcrenk2001 said:
welive in wisconsin and rent out our upper apartment, we live in the lower. we had an interview with a possible tentant and showed our apartment. she wanted to sign the lease right away and gave us a security deposit and last month's rent. thinking it was a done deal my husband put the money into a six month cd. she came back four days later and wanted the money back. can we hold it until we get the unit rented out. we stand to loose a hefty penalty if we withdraw the cd now.
**A: if you are landlords you must study and be familar with the Wisconsin L/T laws. If T signed the lease, then the lease is binding and the deposit should be used for damages due to default pursuant to the terms and provisions in the lease and L/T Law.
Of special note is that the security deposit money belongs to the tenant and not you, therefore the money should be held in a separate trust account. How much of a deposit did T put down to be able to open a CD with the funds? If you have to break the CD and pay penalities, that is your own fault for not knowing and following the respective and applicable law.
