North Carolina § 42-50 - Deposits from the tenant.
Full text of North Carolina North Carolina General Statutes § 42-50 — Deposits from the tenant., with citation guidance and answers to common questions.
§ 42-50. Deposits from the tenant.
Security deposits from the tenant in residential dwelling units shall be deposited in a trust account with a licensed and federally insured depository institution or a trust institution authorized to do business in this State, or the landlord may, at the landlord's option, furnish a bond from an insurance company licensed to do business in North Carolina. The security deposits from the tenant may be held in a trust account outside of the State of North Carolina only if the landlord provides the tenant with an adequate bond in the amount of the deposits. The landlord or the landlord's agent shall notify the tenant within 30 days after the beginning of the lease term of the name and address of the bank or institution where the tenant's deposit is currently located or the name of the insurance company providing the bond. History (1977, c. 914, s. 1; 2015-93, s. 2; 2017-25, s. 2(a).) Effect of Amendments. - Session Laws 2015-93, s. 2, effective June 19, 2015, substituted "federally insured depository institution lawfully doing business in this State" for "insured bank or savings institution located in the State of North Carolina " in the first sentence of the section. Session Laws 2017-25, s. 2(a), effective June 2, 2017, substituted "or a trust institution authorized to do business in this State" for "lawfully doing business in this State" in the first sentence; substituted "the landlord's option" for "his option" twice; substituted "the tenant's deposit" for "his deposit"; and made a related change. Legal Periodicals. - For a survey of 1977 law on property, see 56 N.C.L. Rev. 1111 (1978). For comment on landlords' eviction remedies in the light of Spinks v. Taylor, 303 N.C. 256 , 278 S.E.2d 501 (1981), and the 1981 Act to clarify landlord eviction remedies in residential tenancies, see 60 N.C.L. Rev. 885 (1982). For article, "Who Is a Tenant? The Correct Definition of the Status in North Carolina," see 21 N.C. Cent. L.J. 79 (1995).
Source: official North Carolina text · Last verified 2026-08-27
Frequently Asked Questions About North Carolina § 42-50
What does North Carolina General Statutes § 42-50 cover?
Section 42-50 ("Deposits from the tenant.") is part of the North Carolina General Statutes, the codified statutory law of North Carolina. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite North Carolina § 42-50?
A common citation format is "North Carolina General Statutes § 42-50" (North Carolina). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of North Carolina law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the North Carolina official source linked on this page or consult a licensed North Carolina attorney.
How does North Carolina § 42-50 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in North Carolina can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in North Carolina.