South Dakota security deposit law

Security Deposit Laws in South Dakota: What Your Landlord Can and Cannot Keep

Your landlord has 21 days under South Dakota law to return your security deposit, or you may be owed more than what they withheld. If they keep more than they're legally allowed, you can dispute it.

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South Dakota security deposit return timeline

Deadline to return

21 days

Statute

SDCL § 43-32-24

RECENTLY CHANGED — DO NOT USE THE OLDER 14-DAY FIGURE. Within 21 days after termination of the tenancy AND receipt of the tenant's mailing address or delivery instructions, the lessor must EITHER return the deposit OR furnish a written statement showing the specific reason for withholding the deposit or any portion. Separately, within 45 days after termination, UPON THE LESSEE'S REQUEST, the lessor must provide an itemized accounting of any deposit withheld. Amended by SL 2026, ch. 179 (2026 Senate Bill 4), which raised the deadline from two weeks to twenty-one days; reported effective July 1, 2026.

What can a landlord legally deduct in South Dakota?

Allowed

  • ✓Amounts reasonably necessary to remedy tenant defaults in payment of rent
  • ✓Amounts reasonably necessary to remedy tenant defaults in payment of other funds due to the landlord pursuant to an agreement
  • ✓Amounts reasonably necessary to restore the premises to their condition at the commencement of the tenancy, ordinary wear and tear excepted

Not allowed

  • ✗Ordinary wear and tear

What if your landlord keeps your deposit wrongfully in South Dakota?

A lessor who fails to comply FORFEITS all rights to withhold any portion of the deposit. Bad-faith retention, or bad-faith failure to provide the written statement or itemized accounting, subjects the lessor to PUNITIVE DAMAGES NOT TO EXCEED $200 — in addition to recovery of the deposit itself. This is a SMALL CAPPED PENALTY, not a multiplier.

How TenantNex helps

  1. 1. Tell us your move-out date, deposit amount, and landlord's address — two minutes.
  2. 2. We generate a demand letter citing SDCL § 43-32-24 and your exact deadline.
  3. 3. We mail it to your landlord via USPS Certified Mail with return receipt.
  4. 4. You track delivery on your case page, with day-7 and day-14 follow-up.

Recover $35 · Dispute $49 — one flat fee, no subscription.

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South Dakota tenant rights resources

Every fact on this page is verified against South Dakota's official statutory text as of 2026-09-04. TenantNex prepares legal correspondence as a document preparation service, not as your attorney. For complex disputes, consult a licensed attorney in South Dakota.

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  • Demand letter citing your state statute, deadline, and penalty
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  • Delivery confirmation the moment your landlord receives it
  • Day-7 and day-14 follow-up with your next steps
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What TenantNex is — and isn't

TenantNex is a document preparation and delivery service, not a law firm. We prepare and send correspondence using publicly available state statutes. We do not provide legal advice, legal representation, or guarantee any outcome. For complex legal matters, consult a licensed attorney in your state.