security deposit Finance Definition
An
amount of money that is put forth as a guarantee or protection that property
will be protected or a contract fulfilled. For instance, security deposits
often are made when renting property. A security deposit also may be made in
order to assure that a buyer will fulfill the contract.
security deposit Law Definition
n
Money
held by a landlord to ensure that the tenant abides by the lease agreement and
does no damage to the property above normal-use wear. It is a fund from which
the landlord may draw to make repairs, if necessary, upon termination of the
lease; any pledge of property
or money of a debtor to acquire an obligation. See also obligation.
Browse dictionary entries near security deposit
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