California Apartment Association

Payment of Rent and Security Deposits: Cash and Electronic Funds Transfer

Under California law, a landlord cannot mandate that tenants pay the rent or security deposits with cash or electronic funds transfers as the only forms of payment. To be clear, nothing in the law prohibits a tenant and landlord from mutually agreeing that rent payments may be made in cash or by electronic funds transfer, so long as another form of payment is also allowed by the landlord.