Quick answer

A landlord may ask for an additional rental deposit only if the demand is permitted by the lease and applicable law.

For a residential unit covered by the Rent Control Act of 2009, the landlord may not demand:

More than one month’s advance rent; or
More than two months’ rent as deposit.

The deposit must be kept in a bank under the landlord’s account name during the lease. At the end of the lease, the tenant is entitled to the deposit and the interest it earned, less lawful deductions for unpaid rent, utilities, or actual damage attributable to the tenant.

If the tenant has already paid a deposit equal to two months’ rent, the landlord generally cannot require another “security,” “damage,” or similarly named deposit for the same purpose. Renaming the charge does not necessarily take it outside the statutory ceiling.

For units not covered by rent control—most importantly, residential units renting for more than ₱10,000 per month—the answer depends primarily on the lease, the parties’ agreement, and the Civil Code. Even then, a landlord ordinarily cannot change an existing lease unilaterally unless the contract gives that right or the tenant agrees.

When the two-month limit applies

As of September 15, 2026, National Human Settlements Board Resolution No. 2024-01 regulates residential units with monthly rent of ₱10,000 or less nationwide from January 1, 2025 through December 31, 2026.

Covered residential units may include:

Houses and apartments;
Condominium units used as residences;
Dormitories;
Rooms and bedspaces; and
Certain mixed residential-and-business premises principally used as the owner’s dwelling.

Hotels, hotel rooms, motels, and motel rooms are excluded from the statutory definition.

Section 7 of Republic Act No. 9653 provides the controlling limits: no more than one month’s advance rent and no more than two months’ deposit. The current coverage and rent-increase rules appear in NHSB Resolution No. 2024-01.

The ₱10,000 figure refers to the monthly rent of the residential unit. Whether a particular charge is truly separate from rent may depend on the lease and the actual nature of the payment.

Can the landlord require a deposit top-up after rent increases?

Possibly—but not automatically.

Suppose the tenant originally paid a deposit equal to two months’ rent. If a lawful rent increase later takes effect, the landlord may ask the tenant to increase the deposit so that it remains equal to two months of the new rent if the lease clearly requires the deposit to be maintained at that level. The resulting deposit must still remain within the two-month ceiling for a covered unit.

A top-up is more doubtful when:

The lease states a fixed peso amount rather than “two months’ rent”;
Nothing in the lease requires replenishment or adjustment;
The proposed rent increase is itself unlawful;
The demand would bring the total security deposit above two months’ rent; or
The landlord is trying to impose the new charge during a fixed lease without any contractual basis.

Under Articles 1159 and 1306 of the Civil Code, a lawful contract binds both parties and must be performed in good faith. Neither side may ordinarily rewrite its material terms alone.

For a covered unit occupied by the same tenant, Resolution No. 2024-01 limits the rent increase to 2.3% in 2025 and 2.3% in 2026. A rent increase beyond the permitted amount cannot be made lawful merely by describing part of it as an additional deposit.

What if the unit rents for more than ₱10,000?

The special advance-rent and deposit limits under the current rent-control resolution generally do not cover a residential unit whose monthly rent is above ₱10,000.

That does not give the landlord an unrestricted right to demand more money during an existing lease. Check the contract carefully:

If the signed lease specifies the complete deposit and contains no adjustment clause, an additional mid-lease demand generally requires the tenant’s agreement.
If the lease expressly permits a deposit adjustment following a rent increase, that clause may control, subject to law, public policy, and rules against unconscionable terms.
When the current lease expires, the landlord and tenant may negotiate different deposit terms for a renewal or new lease.
If there is no renewal agreement, neither party should assume that the former terms have been replaced merely because one side proposed new conditions.

The exact result may depend on whether the lease is still within a fixed term, has expired, or has continued through the parties’ conduct.

Charges that require closer examination

Not every payment collected at move-in is necessarily a rental deposit. A landlord or property administrator may separately identify items such as:

Condominium association charges;
Utility-company deposits;
Key or access-card replacement deposits;
Parking deposits; or
Payments for separately leased furniture or equipment.

A genuinely separate third-party charge may be treated differently. But a landlord should not evade the two-month ceiling by dividing one security deposit into several labels.

Ask for a written breakdown showing:

Who receives the money;
What obligation it secures;
Whether it is refundable;
Where it will be kept;
What deductions may be made; and
When and how it will be returned.

If the charge functions as security for unpaid rent or damage to the home, it may be treated as part of the rental deposit regardless of its name.

How the deposit must be handled

For a rent-controlled unit, Republic Act No. 9653 requires the deposit to be kept in a bank under the landlord’s account name throughout the lease. Interest earned on it belongs to the tenant and must be returned when the lease expires.

The landlord may deduct amounts corresponding to:

Unpaid rent;
Unpaid electricity, water, telephone, or other utility bills; and
Pecuniary loss from damage to components or accessories of the dwelling.

A deduction should correspond to the actual financial loss. The law does not authorize an arbitrary deduction merely because the unit shows ordinary deterioration from normal residential use.

The statute does not prescribe a universal number of days for returning the balance. The lease may specify a reasonable turnover and accounting period. In any event, the landlord should provide an itemized computation and supporting bills, receipts, photographs, or repair estimates. The tenant may challenge unsupported or excessive deductions.

What tenants should do when asked for another deposit

1. Ask for the demand in writing

Request the amount, purpose, due date, and legal or contractual basis. Avoid relying solely on a telephone call or verbal instruction.

2. Check whether the unit is covered

Confirm the monthly rent, residential use, location, and lease period. For 2025–2026, the current nationwide ceiling is ₱10,000 per month.

3. Add all security-type payments together

List the original security deposit and every later refundable charge intended to secure rent, utilities, or damage. Compare the total with two months of the current lawful rent if the unit is covered.

Do not count ordinary monthly rent as a deposit. Advance rent and security deposit are distinct and have separate limits.

4. Read the signed lease

Look for provisions on:

The deposit amount;
Deposit replenishment;
Rent adjustments;
Renewal;
Utilities and association dues;
Damage assessment; and
Return of the deposit.

A landlord’s house rules, text message, or later notice does not automatically amend a signed lease.

5. Respond calmly and specifically

If the demand appears unlawful, state in writing that the unit is covered by Republic Act No. 9653, identify the amounts already paid, and ask the landlord to withdraw or revise the demand.

If the issue is only a lawful top-up following a rent increase, request a written calculation and an acknowledgment receipt for any amount paid.

6. Continue paying undisputed rent properly

A deposit dispute does not normally excuse nonpayment of rent. Keep paying the amount lawfully due and retain proof.

If the landlord refuses to accept rent, Section 9 of Republic Act No. 9653 provides specific alternatives for covered units, including proper consignation or deposit with the court, city or municipal treasurer, barangay chairperson, or a bank in the landlord’s name with notice to the landlord. Because strict timing and notice requirements apply, obtain legal advice before relying on this procedure.

Evidence to preserve

Keep copies of:

The signed lease and every renewal or addendum;
Official receipts and bank or e-wallet records;
The landlord’s demand letters, messages, and emails;
Advertisements showing the stated rent and move-in terms;
Move-in and move-out inventories;
Date-stamped photographs and videos of the unit;
Utility statements and proof of payment;
Repair requests and the landlord’s responses;
Condominium or property-management billing statements; and
Any written accounting of deposit deductions.

At turnover, use a written checklist and ask both sides to sign it. Return keys and access cards against a dated acknowledgment.

Common mistakes

Treating the deposit as the last month’s rent

A tenant should not automatically stop paying rent and tell the landlord to use the deposit. Unless the lease or landlord permits this, the tenant may fall into arrears.

Paying an undocumented charge

Insist on a receipt stating the exact purpose of the payment. A vague acknowledgment such as “additional payment” can create unnecessary disagreement later.

Assuming every unit is rent-controlled

The current protection applies only within the coverage established by the NHSB resolution. Units above the monthly threshold remain principally governed by their contracts and the Civil Code.

Signing an addendum without checking the total

An addendum may contain more than a deposit adjustment. Review provisions on rent, penalties, automatic forfeiture, repairs, renewal, and termination before signing.

Accepting an automatic full forfeiture

For a covered unit, deductions under Section 7 must be commensurate with unpaid obligations or pecuniary damage. A landlord should not keep the entire deposit when the proven loss is smaller.

Using self-help measures

A deposit disagreement does not justify changing locks, cutting utilities, removing possessions, threatening occupants, or forcibly taking the property. Eviction must follow lawful grounds and judicial process.

Options if the dispute is not resolved

Send a written demand that states the relevant facts, the amount involved, the requested action, and a reasonable date for compliance.

Barangay conciliation may be a required first step when the parties fall within the territorial and personal coverage of the Katarungang Pambarangay system. Exceptions apply, so jurisdiction should be checked rather than assumed.

A claim seeking only the return of money may qualify as a small claim when it does not exceed ₱1,000,000, exclusive of interest and costs. The Supreme Court provides the current rules and forms on its Small Claims page. Questions involving eviction, possession, injunctions, ownership, or complicated contractual relief may require a different court procedure.

A violation of Republic Act No. 9653 may also carry the statutory penalties stated in Section 13: a fine of ₱25,000 to ₱50,000, imprisonment of one month and one day to six months, or both, upon conviction. A tenant considering a criminal complaint should consult a lawyer or the appropriate prosecutor’s office about the evidence and procedure.

When legal help is urgent

Seek prompt assistance from a Philippine lawyer, the Public Attorney’s Office if eligible, or an appropriate legal-aid organization when:

The landlord threatens or attempts a lockout;
Utilities are disconnected to force payment or departure;
The tenant receives a barangay summons, demand to vacate, or court papers;
The landlord refuses lawful rent payments;
A large deposit is being withheld without an accounting;
The lease contains an automatic-forfeiture or unusually severe penalty clause;
The landlord is demanding payment under threat or harassment; or
The parties disagree about whether the ₱10,000 coverage threshold applies.

Court and barangay notices should never be ignored. Deadlines may continue to run while the parties negotiate informally.

Frequently asked questions

Can a landlord collect three months’ deposit plus one month’s advance?

Not for a residential unit covered by the Rent Control Act. The maximum is two months’ deposit plus one month’s advance rent.

Can the landlord ask for another deposit every year?

Not automatically. The demand needs a lawful basis in the lease, and the total deposit for a covered unit cannot exceed two months of the lawful rent.

Can the deposit be increased when the rent increases?

It may be topped up if the lease requires the deposit to remain equivalent to a stated number of months and the resulting total stays within the applicable ceiling. A fixed deposit cannot ordinarily be changed unilaterally without a contractual basis.

Can a landlord call it a “damage bond” instead?

The label is not decisive. If the money secures obligations normally covered by a rental deposit, it may count toward the two-month maximum.

Must the landlord return interest on the deposit?

Yes, for a unit covered by Republic Act No. 9653. The deposit must be banked under the landlord’s account name, and the accrued interest must be returned to the tenant at the end of the lease, subject to lawful deductions.

May the landlord deduct repainting costs?

Only when the tenant is legally responsible for the loss under the lease and applicable law. Routine aging or ordinary wear is different from tenant-caused damage. The condition of the unit, length of occupancy, move-in evidence, and actual work required all matter.

Can the tenant refuse the additional demand and remain in the unit?

That depends on the lease term and the nature of the demand. Refusing an unlawful charge is not itself a lawful shortcut to eviction, but an expired lease or a separate contractual breach may affect the tenant’s right to remain. Obtain advice promptly if a notice to vacate has been issued.

What happens after December 31, 2026?

NHSB Resolution No. 2024-01 is expressly limited to January 1, 2025 through December 31, 2026. Check for a new official NHSB or DHSUD issuance before relying on the same coverage, thresholds, or rent-increase limit after that date.

This article provides general legal information, not legal advice for a particular lease or dispute. Contract language, rent level, property use, notices, and payment records can change the result. Official sources were checked as of September 15, 2026.