[johnq]

So it seems our landlord/realty company hasn't been paying us our yearly interest on our Security Deposit and Last Month Rent. (See the bottom text for the law if it's unfamiliar to you). Tsk, tsk.

We've been here for about 15 years continuously and never saw a check.

Now, my only real question is regarding the interest rate for the Savings Account/Bank that the money is in. I'm trying to establish a ballpark figure before asking the realty company Monday.

The picture below is wrong for at least two reasons, I know. 1. I need to look up my actual original deposit and rent total, so 1945 is a guess. 2. I used 0.05 but I have no idea what the actual rates have been over 15 years. 0.05 happens to be the maximum as well as the current for Bank of America (assuming it's in a regular savings account).

The question:
Anyone know of a way to find the savings account interest rates for a given bank or banks over a long period of time?

Or a guess at how they might have fluctuated.

I can call BOA I suppose, but I was hoping for an online table.

Actually with all the bank takeovers, it's more complicated than that but I suppose a rough guess will help. This money must have been bounced around to at least 3 banks that I can think of.

I'm not expecting free legal advice, I'm just thinking out loud and interested in opinions.




This is the law, by the way (I was oblivious to this, having only rented twice prior):

At the end of each year of your tenancy, the landlord should send you a notice restating where your security deposit is and how much interest she owes you. You can either have this amount credited to your next rental payment or the landlord can pay it to you directly. MGL ch.186 sec. 15B (3)(b). In Massachusetts you are entitled to 5% interest a year unless the landlord's bank pays less. (You are only entitled to the amount earned on your money.) The landlord must notify you at the end of each year and within 30 days after you move out. Last month's rent. If a landlord requires you to pay the last month's rent prior to moving in, then you are entitled to earn interest on this money as well. Like interest accrued on your security deposit, you are entitled to 5% interest yearly, unless the landlord's bank has a lower interest rate. Unlike security deposit, there is no requirement that last month’s rent be deposited in a separate account. If, 30 days after the anniversary date of your tenancy, your landlord has not sent you this interest or told you that you can subtract it from you next rent check, you may legally subtract it from your next rent check. MGL ch. 186 sec. 15B (2)(a).

[_Ω_]

Surely the interest should be compounded?

Based on your simple table I got $4200

[torifile]

5% is way high for a savings account.

[alcimedes]

If you do each one at a yearly compound interest rate over 15 years, assuming 3% interest you get $3,030.25 for each, so a total of $6,030.50.

As for your recourse, that's a little tougher. I'd sumbit something in writing to him and try and get a reply. Then you can decide from there.

You can always withhold payment for the $3,030.25 from your last month's rent, but I wouldn't do that unless you had to. Write them a letter and see what they say. Odds are they'll be quick to pay you.

[johnq]

Thanks for in input, I'll see how it goes tomorrow.

Yeah, I figured 5% is high but it is the only figure I had based on current BOA savings accounts.

D'oh! of course...compounded. Art major here.

[pmazer]

Yeah, a letter is always the best first course of action because then you have proof that you sent it (make sure to keep proof that you sent it, from the post office...)

[Kickaha]

Withholding money from your rent for *any* reason is illegal in most areas, and will result in immediate default of your deposit, principle *and* interest... and you'll still owe that money. It looks like that law provides the renter with exactly such a recourse though for this particular instance... nice.

Check your rental contract, find the fine print. That's the only thing that matters really, other than local law. Find out in there what process you need to go through to retain all rights. Informing them via registered mail (certified is better) is probably the bare minimum.

Most municipalities have the laws seriously skewed in the landlord's favor - one misstep on even how you communicate with them, and you lose any chance of a legal settlement. Take it slow, take it easy.

[elvia]

I think your best bet is to contact a Rental Managment Group and ask them Exactly how the law would be appleid. I am a landlord in Louisiana, and we have no such laws at all. No intrest earned at all. also, maybe check with a real estate attorney. Unless there is some type of escape law, You should certainly be gettting something back...
good luck

[spotcatbug]

You might also want to find out when this law took effect. Was it 15 years ago, or last year? That probably has bearing on how much money you are owed.

[alcimedes]

In our state at least you can pay your rent to the courts in escrow if you have a complaint. The courts then hold on to the money until the court case is resolved. I'd sure check with you local court on this though.

[Amadeus]

Good luck johnq. Hope that it will be straightened out to your satisfaction.

[johnq]

Thanks all. I have a good site that explains the laws and process in my area, but I'll think about a lawyer just in case.

The impetus for the eviction was over $1400, but we paid, it's just that the realtor never logged it as paid somehow. I have the processed check. So hopefully if I can get paid up and say, ok, we just won't renew, just don't evict us, (it's only one more month, and we can pay), we might reach an agreement.

Blech...I'm too busy looking for jobs to deal with this. interview on Tues, wish me luck

thanks again