# Mich. Comp. Laws § 554.604: Security deposit, disposition; bond

> Michigan · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.604

## Section

- **Citation:** Mich. Comp. Laws § 554.604
- **Heading:** Security deposit, disposition; bond
- **Jurisdiction:** Michigan
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** MI Code / Chapter 554 / Act Act-348-of-1972 / Section 554.604

## Text

Sec. 4.

The security deposit shall be deposited in a regulated financial institution. A landlord may use the moneys so deposited for any purposes he desires if he deposits with the secretary of state a cash bond or surety bond written by a surety company licensed to do business in this state and acceptable to the attorney general to secure the entire deposits up to $50,000.00 and 25% of any amount exceeding $50,000.00. The attorney general may find a bond unacceptable based only upon reasonable criteria relating to the sufficiency of the bond, and shall notify the landlord in writing of his reasons for the unacceptability of the bond.

The bond shall be for the benefit of persons making security deposits with the landlord. A person for whose benefit the bond is written or his legal representative may bring an action in the district, common pleas or municipal court where the landlord resides or does business for collection on the bond.

History: 1972, Act 348, Eff. Apr. 1, 1973

## Nearby sections

- [Mich. Comp. Laws § 554.601 Definitions.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.601.md)
- [Mich. Comp. Laws § 554.601a Termination of lease; conditions; applicability of section to leases entered into, renewed, or renegotiated after effective date.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.601a.md)
- [Mich. Comp. Laws § 554.601b Tenant under apprehension of danger from domestic violence, sexual assault, or stalking; release from rental payment obligation; written notice; content; documentation; forwarding information; liability of multiple tenants; applicability; remedies against other parties; definitions.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.601b.md)
- [Mich. Comp. Laws § 554.601c Prohibition on the distinction, discrimination, or restriction based on source of income of tenant.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.601c.md)
- [Mich. Comp. Laws § 554.601d Civil action; penalty.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.601d.md)
- [Mich. Comp. Laws § 554.602 Security deposit; amount.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.602.md)
- [Mich. Comp. Laws § 554.603 Security deposit; notice.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.603.md)
- [Mich. Comp. Laws § 554.604 Security deposit, disposition; bond.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.604.md)
- [Mich. Comp. Laws § 554.605 Security deposit as property of tenant.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.605.md)
- [Mich. Comp. Laws § 554.606 Waiving requirements of act.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.606.md)
- [Mich. Comp. Laws § 554.607 Security deposit; permissible uses.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.607.md)
- [Mich. Comp. Laws § 554.608 Inventory checklists.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.608.md)
- [Mich. Comp. Laws § 554.609 Itemized list of damages; check or money order; contents of notice of damages.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.609.md)
- [Mich. Comp. Laws § 554.610 Effect of noncompliance with notice of damages requirement.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.610.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_MI_C554_AAct-348-of-1972_S554.604. Check the current official text before relying on it. Not legal advice.