States/Iowa/Deposit Remedy
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Iowa renter guide

Iowa Bad-Faith Security Deposit Retention Remedy

Section 562A.12(7) states that bad-faith retention of a rental deposit, or any portion, in violation of the section can subject the landlord to punitive damages up to twice the monthly rental payment in addition to actual damages.

Last reviewed: August 30, 20261 official source cited
Potential punitive damagesUp to 2× monthly rent

For bad-faith retention in violation of the section, plus actual damages.

Bad faith is a factual/legal determination

A late or disputed deduction is not automatically bad faith. The timeline, statement, evidence, withholding reason and other facts matter.

Use the exact Iowa source and tenancy facts. Trigger dates, lease terms, charge disclosures and evidence can change the analysis. Educational information only.

Official source

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