Tenant security deposit in separate savings account

[Arun Maheshwari]

Hi,

I am based out of NJ and have a investment property in NJ. Can I just keep Tenant security deposit  in a separate Savings account or do i need to open a separate Landlord-Tennat account(escrow account)?

Thanks

[Brandon Arce]

A tenant took me to court for this issue, what i found out is that you can keep it in any account you wish but you have to notify the tenant (in writing) of the location and rates they will be accruing.