I have represented Landlords for most of my career, primarily in the commercial/industrial sector.  Although it is hard to stop someone from not paying last months rent and thinking that the deposit will be applied as last month’s rent.  If someone tries to apply the security deposit to last month’s rent, I advise my clients to add a late fee to the final move out costs, plus any repair costs associated with the move out.

Landlords must keep an itemized list of expenses being deducted from the security deposit and provide that list to the tenant.