Deposit must earn interest?

I heard a while ago that a landlord is legally bound to place a tenant’s deposit in a bank where it naturally earns interest, which should then be paid to the tenant when he claims his deposit back. Is this true?


There are basically two types of deposits: 押金 and 履約保證金. 押金 is a traditional rental deposit, but the law limits this to two months rent. Many landlords feel that this is not sufficient and will instead require a 履約保證金, which actually protects the terms of the contract. Landlords will generally give you no interest for either. It would be very difficult for your landlord to verify the interest generated by your deposit, and generally landlords like to use that interest themselves. But you can deposit the money at your bank and get a special account (I have to check the name of the type of account). The account can default to the landlord if need be, but the interest accumulate is yours. You will have to speak with your landlord to see if he or she will accept this.

With bank interest rates around 1%, why even bother worrying about it?