North Carolina Law
The information contained in this brochure is presented by
Northwest Piedmont Council of Governments to inform
property owners of their rights under NC Law. The informa-
tion is from the NC Justice Center. It is not intended to serve
as a substitute for legal advice.
Landlord must give tenant written notice of the name of the bank that is holding the ten-
ant’s security deposit or the name and address of the insurance company providing a
bond to cover the security deposit, if not in a bank in North Carolina.
◊ After the tenant moves out for any reason (including eviction), the landlord must give the
tenant a written account of any items deducted from the deposit and refund the balance
to the tenant. The landlord has thirty (30) days from the time the tenant moves out to
give this accounting and refund.
◊ A landlord may keep part or all of the security deposit for:
Back rent owed to the landlord
Costs for repairs of damage beyond normal wear and tear
Lost rent and expenses for finding another tenant if ten
ant moved before lease ended.
Court costs, if evicted.
◊ A late fee may only be charged after the rent is five days late.
The fee may only be $15.00 or 5% of the monthly rent, whichever is greater. For Section
8 units, the fee cannot exceed 5% of the portion of rent the tenant pays.
The fee may only be charged once per month. It cannot be increased based on the num-
ber of days past the payment date.
Evicting a tenant requires that the landlord follow the process set out by North Carolina law.
If the term of the lease is ending, the landlord does not have to renew the lease. However,
there must be a written lease with a specific term, and the landlord must give written notice
to the tenant that the lease will not be renewed and ask them to vacate within a reasonable
If the tenant does not move after being asked to vaca