A security deposit agreement is a legal form detailing the terms, conditions, and responsibilities of a landlord and tenant in regard to a security deposit payment. A security deposit agreement may also sometimes be referred to as a security deposit receipt. The agreement should state the total amount of the security deposit and the date it was paid. It should also list specific terms, including how and when a security deposit will be refunded, and the process in which a landlord can legally deduct funds from the deposit. A security deposit agreement may also contain information regarding the condition of the rental unit. Existing defects or damages may be listed, ensuring that the tenant will not be charged for repairs for previous damages. The condition of the carpet, floors, walls, and appliances may be listed as well. Both the tenant and the landlord must sign the security deposit agreement keep copies in case of any future problems or disputes.