Deposit Interest for Tenants in Germany
As a tenant in Germany it is important at move-out to check not only the deposit amount but also any accrued interest. Many mistakes occur because interest is not documented separately, calculated incorrectly, or offset against service charges. This guide explains in clear steps what rights tenants have, which deadlines apply and how to request documentation or demand repayment. You will get practical checklists for families, tips on secure deposit arrangements and templates for letters to the landlord as well as examples of common disputes. In the end you will know which documents matter and how to avoid typical errors with interest credits so the deposit is settled fairly.
Why deposit interest matters
The deposit serves as security for the landlord, but it is not a gift: interest accrued on a deposit account generally belongs to the tenants. According to § 546 BGB and tenancy law rules, interest must be considered when repaying the deposit[1]. If interest is missing or miscalculated, repayment of the entire deposit can be delayed or reduced.
In most cases the accrued interest is part of the deposit and must be considered at move-out.
Common errors with interest credits
- Interest not shown separately (deposit), leading to incorrect repayment.
- Incorrect calculation of the interest period (deadline) or term.
- Offsetting service charges against the deposit (deposit) without tenant consent.
- Missing bank statements and receipts (evidence) as proof in disputes.
Good documentation increases your chances of successfully claiming missing interest.
Practical steps for tenants
First check your lease for any agreement on how the deposit is held. Request a written interest statement and bank statements from the landlord if these details are missing. Set clear response deadlines and keep all records. If the landlord does not respond, you can send a formal demand for repayment and, if necessary, consider court action at the local court (Amtsgericht)[2].
Checklist: gather documents
- Copy of the lease agreement and any amendments (evidence).
- Formal request to the landlord with a deadline (form).
- Bank statements or proof of the deposit account (deposit).
- Record contact details and notes of conversations with the landlord (contact).
Respond promptly to deadlines to avoid losing rights.
FAQ
- Do deposit interest payments automatically belong to the tenant?
- Yes, generally interest accrued on the deposit belongs to the tenant unless a different agreement exists or statutory exceptions apply.
- How long may the landlord wait to repay the deposit?
- There is no fixed statutory deadline, but repayment should occur within a reasonable time after tenancy ends and all claims are settled; in practice three to six months is common.
- What if the landlord does not show the interest?
- Request an itemized statement and bank records in writing; if the landlord remains uncooperative, consider legal action or contact the local court.
How-To
- Send a formal request to the landlord asking for an interest statement and bank records (form).
- Collect evidence: lease, deposit transfers and any correspondence (evidence).
- Set a reasonable deadline (e.g., 14 days) and document the deadline (contact).
- If no agreement is reached, notify the local court or seek legal advice (court).
Help and Support / Resources
- BGB online (Gesetze im Internet) — contact
- Federal Court (BGH) — contact
- Federal Ministry of Justice — contact
