Rental deposit in savings account: calculating interest
How much interest does the deposit earn on a blocked account? Calculation and taxation.
The principle: interest for the tenant’s benefit
When the rental deposit is placed in an individualised blocked account at a bank, the interest earned is capitalised for the tenant’s benefit. This is a legal obligation set out in the law of 20 February 1991 on main-residence leases.
This principle applies regardless of the Region (Brussels, Wallonia, Flanders) and regardless of the deposit amount. The landlord has no right to this interest, even in case of a dispute over the condition of the property.
In practice, the deposit is placed in a specific savings account — the “rental deposit account” — whose conditions are set by each bank.
Interest calculation
The applicable rate
The interest rate on rental deposit accounts varies by bank and market conditions. Here are the indicative rates in 2026:
| Bank | Base rate | Loyalty rate | Approximate total |
|---|---|---|---|
| Major banks (BNP, ING, KBC) | 0.50% | 0.50-1.00% | 1.00-1.50% |
| Online banks (Keytrade, MeDirect) | 0.75% | 0.75-1.25% | 1.50-2.00% |
| Belfius | 0.50% | 0.75% | 1.25% |
Calculation example
Deposit of EUR 1,800 (2 months’ rent at EUR 900), held for 5 years at a rate of 1.25%:
- Year 1: 1,800 x 1.25% = EUR 22.50
- Year 2: 1,822.50 x 1.25% = EUR 22.78
- Year 3: 1,845.28 x 1.25% = EUR 23.07
- Year 4: 1,868.35 x 1.25% = EUR 23.35
- Year 5: 1,891.70 x 1.25% = EUR 23.65
Total after 5 years: EUR 1,915.35 (i.e. EUR 115.35 in capitalised interest)
Interest is capitalised annually: it is added to the capital and itself earns interest the following year. This is the principle of compound interest.
Release of the deposit and interest
When both parties agree
When landlord and tenant agree on the release, the bank pays the tenant the initial capital plus the accumulated interest. If part of the deposit is withheld (for unpaid rent or damage), the interest follows the same allocation.
Example: out of EUR 1,915.35 (capital + interest), the landlord withholds EUR 500 for damage. The tenant receives EUR 1,415.35.
In case of withholding by the landlord
Interest follows the fate of the capital:
- The portion released to the tenant includes proportional interest
- The portion withheld by the landlord also includes proportional interest
In case of dispute
If the parties cannot agree, the deposit and its interest remain blocked until an amicable agreement or a decision by the Justice of the Peace. See our guide on deposits withheld by the landlord for remedies.
Practical advice
- Compare rates between banks before opening the deposit account
- Request an annual statement from your bank to verify interest capitalisation
- Upon release, verify that the amount includes the capitalised interest
- Keep bank statements throughout the lease
For a compliant lease providing for deposit placement in a blocked account, use our online lease generator. A rental management software helps you track deposits and their deadlines for all your properties.