This tool facilitates the precise calculation of earnings accrued on funds held by a landlord as assurance against property damage or lease violations during a tenancy. It automatically computes the monetary gain based on the initial deposit amount, the applicable interest rate mandated by local regulations, and the duration the funds were held. For example, if a tenant places a \$2,000 deposit in a jurisdiction requiring 1% annual interest, the utility determines the yearly yield and provides the cumulative earnings over the rental period.
The availability of such resources is crucial for transparency and compliance with housing laws. Historically, disputes over security deposit returns were common, often due to disagreements about earnings allocation. These calculation utilities promote fairness and accountability, streamlining the process for both property owners and renters. They ensure accurate determination of owed amounts, diminishing the potential for litigation and fostering a more equitable landlord-tenant relationship.