Step-by-step in Ontario
- 1Look up the Ontario cap. Each province has a different ceiling (often equal to one month's rent, sometimes less). Central Rentals shows the live cap when you create a lease.
- 2Collect the deposit at lease signing. Central Rentals' Smart Deposit tool collects via Stripe-CAD and timestamps the transaction for audit.
- 3Hold it in a separate account. Ontario typically requires landlords to hold deposits separately and pay interest — Central Rentals tracks the balance and accrued interest per tenant.
- 4Return on move-out within Ontario's legal window. Most provinces require return within 10-15 days, less any documented damages. Central Rentals issues the refund via Stripe with itemised deductions.
Why this matters
Charging more than Ontario's legal cap automatically forfeits your right to keep any of the deposit when challenged at Landlord and Tenant Board (LTB) — even when damages are legitimate.
Frequently asked
Can I charge a pet deposit in Ontario?
Depends on the province. Some allow a separate pet deposit (e.g., BC, AB); others (e.g., ON) prohibit it entirely. Central Rentals' lease wizard locks the legal pet deposit value for your province automatically.
Do I have to pay interest on the deposit?
Yes in Ontario. The current rate is set by Landlord and Tenant Board (LTB) annually. Central Rentals accrues the interest in your ledger and includes it in the move-out refund automatically.
What can I deduct on move-out?
Reasonable damages above normal wear-and-tear, unpaid rent, and unpaid utilities. Always document with photos. Central Rentals' Move-Out Module generates the deduction breakdown in CRA-ready format.
Stop guessing — let Mark handle it
Central Rentals automates every step above for Ontario landlords. Generate the right notice, calculate the legal cap, file with Landlord and Tenant Board (LTB), and export to CRA — all in one place.