Legal Question in Landlord & Tenant Law in Iowa

They're required to refund the deposit subject to some exceptions and provide you an accounting. Iowa code chapter 562A12 describes disposition of rental deposits and the tenant's remedies if not paid.

562A.12 RENTAL DEPOSITS.

1. A landlord shall not demand or receive as a security deposit

an amount or value in excess of two months' rent.

2. All rental deposits shall be held by the landlord for the

tenant, who is a party to the agreement, in a bank or savings and

loan association or credit union which is insured by an agency of the

federal government. Rental deposits shall not be commingled with the

personal funds of the landlord. Notwithstanding the provisions of

chapter 543B, all rental deposits may be held in a trust account,

which may be a common trust account and which may be an interest

bearing account. Any interest earned on a rental deposit during the

first five years of a tenancy shall be the property of the landlord.

3. A landlord shall, within thirty days from the date of

termination of the tenancy and receipt of the tenant's mailing

address or delivery instructions, return the rental deposit to the

tenant or furnish to the tenant a written statement showing the

specific reason for withholding of the rental deposit or any portion

thereof. If the rental deposit or any portion of the rental deposit

is withheld for the restoration of the dwelling unit, the statement

shall specify the nature of the damages. The landlord may withhold

from the rental deposit only such amounts as are reasonably necessary

for the following reasons:

a. To remedy a tenant's default in the payment of rent or of

other funds due to the landlord pursuant to the rental agreement.

b. To restore the dwelling unit to its condition at the

commencement of the tenancy, ordinary wear and tear excepted.

c. To recover expenses incurred in acquiring possession of

the premises from a tenant who does not act in good faith in failing

to surrender and vacate the premises upon noncompliance with the

rental agreement and notification of such noncompliance pursuant to

this chapter.

In an action concerning the rental deposit, the burden of proving,

by a preponderance of the evidence, the reason for withholding all or

any portion of the rental deposit shall be on the landlord.

4. A landlord who fails to provide a written statement within

thirty days of termination of the tenancy and receipt of the tenant's

mailing address or delivery instructions shall forfeit all rights to

withhold any portion of the rental deposit. If no mailing address or

instructions are provided to the landlord within one year from the

termination of the tenancy the rental deposit shall revert to the

landlord and the tenant will be deemed to have forfeited all rights