South Dakota Security Deposit Demand Letter
Direct answer
In South Dakota, the landlord must return the deposit within 21 calendar days (return full deposit or provide written statement of specific reasons for withholding) or 45 calendar days (upon request of the lessee: itemized accounting of any deposit withheld). The deadline is measured from this trigger: 21 calendar days (return full deposit or provide written statement of specific reasons for withholding): after the termination of the tenancy and receipt of the tenant's mailing address or delivery instructions; 45 calendar days (upon request of the lessee: itemized accounting of any deposit withheld): after termination of the tenancy. The verified state formula is failure to comply: lessor forfeits all rights to withhold any portion of the deposit; bad-faith retention or bad-faith failure to provide required statement/accounting: punitive damages not to exceed $200 under S.D. Codified Laws §§ 43-32-6.1, 43-32-24.
Key facts
| Deadline | 21 calendar days (return full deposit or provide written statement of specific reasons for withholding); trigger: after the termination of the tenancy and receipt of the tenant's mailing address or delivery instructions |
|---|---|
| Deadline (branch 2) | 45 calendar days (upon request of the lessee: itemized accounting of any deposit withheld); trigger: after termination of the tenancy |
| Penalty formula | failure to comply: lessor forfeits all rights to withhold any portion of the deposit; bad-faith retention or bad-faith failure to provide required statement/accounting: punitive damages not to exceed $200 |
| Bad faith required | No |
| Itemization required | Yes |
| Interest on deposit | No |
| Maximum deposit | Not more than one month's rent (S.D. Codified Laws § 43-32-6.1). |
| Forwarding address required | Yes |
| Small claims limit | $12,000 (Magistrate Court small claims (SDCL 16-12C-13)) in Magistrate Court (small claims) |
| Statute citation | S.D. Codified Laws §§ 43-32-6.1, 43-32-24 |
Statute says
Every lessor of residential premises shall, within twenty-one days after the termination of the tenancy and receipt of the tenant's mailing address or delivery instructions, return the security deposit described in § 43-32-6.1 to the tenant or furnish to the tenant a written statement showing the specific reason for withholding the deposit, or any portion of the deposit. Within forty-five days after termination of the tenancy, upon request of the lessee, the lessor must provide the lessee with an itemized accounting of any deposit withheld. Any lessor of residential premises who fails to comply with this section forfeits all rights to withhold any portion of the deposit. The bad faith retention of a deposit, or any portion of a deposit, by a lessor of residential premises, in violation of this section, or the bad faith failure to provide the written statement or itemized accounting, as required by this section, subjects the lessor to punitive damages not to exceed two hundred dollars.
What this means
Read the deadline, trigger, and penalty together before sending a letter. Match the dates in your documents to the trigger listed above, then cite S.D. Codified Laws §§ 43-32-6.1, 43-32-24 and request the deposit amount supported by your records.
Worked example
Use your actual deposit amount when you write the letter. For context, median rent in South Dakota is $946 according to U.S. Census Bureau QuickFacts, American Community Survey 2020-2024 5-Year Estimates data as of .
- Minnehaha County: $978
- Pennington County: $1,120
- Lincoln County: $1,260
- Brown County: $777
Example demand basis: a deposit equal to the state median rent starts at $946 before applying the state formula: failure to comply: lessor forfeits all rights to withhold any portion of the deposit; bad-faith retention or bad-faith failure to provide required statement/accounting: punitive damages not to exceed $200.
County small claims courts
| County | Court and city | Limit | Filing fee | E-filing | Court link |
|---|---|---|---|---|---|
| Minnehaha | Second Judicial Circuit Court, Sioux Falls | $12,000 | Statewide filing fee: Confirm current filing and service fees with the clerk of courts. | Not verified | Official court website Court page check not recorded |
| Pennington | Seventh Judicial Circuit Court, Rapid City | $12,000 | Statewide filing fee: Confirm current filing and service fees with the clerk of courts. | Not verified | Official court website Court page check not recorded |
| Lincoln | Second Judicial Circuit Court, Canton | $12,000 | Statewide filing fee: Confirm current filing and service fees with the clerk of courts. | Not verified | Official court website Court page check not recorded |
See all 70 county small claims courts and filing fees
Free South Dakota template, built from verified state data
I rented [rental property address] from [lease start date] to [move-out date]. I paid a security deposit of $[amount]. I returned the keys on [date] and gave you my forwarding address in writing on [date]. Under South Dakota law (S.D. Codified Laws §§ 43-32-6.1, 43-32-24), a landlord must return the deposit or respond in writing within [21 calendar days / 45 calendar days, see the note above] after [the event listed in the note above].
Before you send
- Collect your lease, deposit receipt, and move-in records.
- Save photos, videos, and messages about move-out condition.
- Write down the move-out date you can prove.
- Confirm the forwarding address you gave the landlord.
- Send by certified mail when appropriate, and keep a copy of the final letter and delivery proof.
Typical mistakes
- Sending a letter before organizing the documents that prove the timeline.
- Demanding an amount that does not match the payment records.
- Leaving out the forwarding address or preferred response method.
- Mixing repair complaints into a deposit letter without separating the issues.
FAQ
Does Sioux Falls have its own security deposit law?
No separate city security-deposit ordinance is listed in the verified data. Check the applicable South Dakota law.
Does Rapid City have its own security deposit law?
No separate city security-deposit ordinance is listed in the verified data. Check the applicable South Dakota law.
Does Aberdeen have its own security deposit law?
No separate city security-deposit ordinance is listed in the verified data. Check the applicable South Dakota law.
Does Brookings have its own security deposit law?
No separate city security-deposit ordinance is listed in the verified data. Check the applicable South Dakota law.
What is the small claims limit in South Dakota?
See the applicable court limits and jurisdictions in the state court guide. South Dakota small claims courts and filing fees
Can I use this if I do not know the exact deposit amount?
Use the amount shown in your lease, receipt, or move-in records. If records conflict, keep copies and avoid guessing in the letter.
Should I send evidence with the first letter?
Attach copies when they prove the basic facts, such as payment, move-out condition, forwarding address, or prior messages.
Can this page replace legal advice?
No. This page is self-help information for organizing a demand letter and checking the cited data before you act.
City data on this page currently includes Sioux Falls, Rapid City, Aberdeen, Brookings, Watertown, Mitchell, Yankton, Huron.
When this letter will NOT work
- The dispute is not about return of a security deposit.
- You need urgent court relief instead of a demand letter.
- You cannot identify the landlord or property manager to contact.
- Your documents point to a different state or a different kind of claim.
Tenant resources
- Dakota Plains Legal Serviceslegal aid, 605-856-4444
- South Dakota Law Helplegal aid
- South Dakota Attorney General - Landlord and Tenant Consumer Guideag consumer in Pierre
- South Dakota Unified Judicial System - Small Claimscourt self help, 855-784-0004