Interest is due within 10 days of each anniversary, and handling fees are not allowed.
Why, and the exact law
Depends on the year the building was built.
From Hayward Residential Rent Stabilization Ordinance No. 16-19, § 13, read Oct 4, 2026.Show the law
“Landlords shall pay annual interest in accordance with the provisions of this
section on all security deposits of more than one year's duration with interest accruing from the
first day a tenancy begins …”
State law applies here too. Where both cover a rental, the stricter city rule usually wins; each rule below says so.
Hayward lawDepends on the building
Hayward RRSO security deposit interest
Do I get interest on my deposit?
Yes, landlords must pay you yearly interest.
Interest is due within 10 days of each anniversary, and handling fees are not allowed.
Depends on the year the building was built.
Who it covers
Buildings with a first certificate of occupancy on or before Jul 1, 1979.
In force since
Mar 16, 1993
The law, word for word
“Landlords shall pay annual interest in accordance with the provisions of this
section on all security deposits of more than one year's duration with interest accruing from the
first day a tenancy begins …”
California security deposit cap and handling (AB 12)
How big can the deposit be?
Max 1 month's rent.
An individual owner (2 rentals, 4 units at most) may ask for 2 months, but not from a service member.
Who it covers
Covers: Security for rental agreements of residential property used as the tenant's dwelling.
In force since
Jul 1, 2024
Current version since
Jan 1, 2026
The law, word for word
“a landlord shall not demand or receive security, however denominated, in an amount or value in excess of an amount equal to one month’s rent, in addition to any rent for the first month paid on or before initial occupancy …”