Free Minnesota Application Denial Letter Template

Last reviewed September 2026

Written by LawLease Editorial

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Minnesota Application Denial Letter

This Application Denial Letter is built with Minnesota as the governing state. These are the Minnesota landlord-tenant rules that most often bear on it, with the statute for each.

Minnesota rules at a glance

Minnesota rules for an Application Denial Letter
Security deposit limit	No statutory capMinn. Stat. §504B.178
Deposit return	3 weeks after the tenancy ends and the landlord has the tenant’s mailing address, with 1% interestMinn. Stat. §504B.178, subd. 3

Security deposits in Minnesota

Minnesota sets no maximum security deposit, but it is one of the few states that still requires interest on it, and the return deadline is short.

Interest — The deposit earns 1% simple, non-compounded interest a year, from the first day of the month after it’s fully paid until the landlord returns it. Interest amounts under $1 are excluded (§504B.178, subd. 2).
Return — Within three weeks after the tenancy ends and the landlord receives the tenant’s mailing address or delivery instructions, the landlord must return the deposit with interest or mail a written statement of the specific reasons for withholding. If the building is condemned through no fault of the tenant, the deadline is five days (§504B.178, subd. 3).
Allowed deductions — Only unpaid rent or other money owed under the lease, and the cost of restoring the unit to its move-in condition, ordinary wear and tear excepted. The landlord bears the burden of proving every deduction (§504B.178, subd. 3).
Inspections — Since 2024, the landlord must tell the tenant at move-in (or within 14 days) of the right to request an initial inspection, and near the end of the tenancy of the right to a move-out inspection so problems can be fixed before deductions (§504B.182).
Penalties — A landlord who misses the deadline owes the withheld amount again as a penalty, plus the deposit and interest; bad-faith retention adds up to $500 in punitive damages per deposit (§504B.178, subds. 4, 7).
Last month’s rent — A tenant can’t withhold the last month’s rent on the theory that the deposit covers it, except in a month-to-month tenancy where no notice to quit has been served (§504B.178, subd. 8).

Minnesota Application Denial Letter FAQs

How much can a landlord charge for a security deposit in Minnesota?

Minnesota sets no maximum. The deposit must earn 1% simple interest a year and be returned, or withholding explained in writing, within three weeks after the tenancy ends and the landlord has the tenant’s mailing address (§504B.178).

How long does a landlord have to return a security deposit in Minnesota?

Three weeks after the later of the tenancy ending and receiving the tenant’s forwarding address — five days if the building was condemned through no fault of the tenant. Late or bad-faith withholding brings a penalty equal to the amount withheld plus up to $500 in punitive damages (§504B.178, subds. 3, 4, 7).

Application Denial Letter in other states

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