Security Deposit Laws in Karnataka: Rights, Limits, and Refund Rules

Wed, 20 May 2026 10:00:00 +0530

The security deposit is often the largest single financial transaction in a rental arrangement. In Bengaluru, where 10 months’ deposit is the prevailing market standard, a tenant renting a 2BHK at Rs 30,000 per month is paying Rs 3,00,000 upfront as a refundable deposit. For many tenants, particularly those relocating to Bengaluru for the first time, this amount represents a significant portion of their savings.

Despite the financial magnitude of these transactions, security deposits in Karnataka operate in a space where market practice has outpaced statutory regulation. Understanding the legal framework, what the law actually says, what it does not say, and what rights and remedies are available, is essential for both tenants and landlords.

Security Deposit on Mittiyo

Security Deposit Laws in Karnataka: Rights, Limits, and Refund Rules