Pennsylvania Tenant Screening Laws: What Landlords Can and Cannot Do
Pennsylvania does not cap screening fees, but the Landlord and Tenant Act limits deposits on a sliding scale and the PHRA plus federal law govern who you approve. Here is how to screen legally in 2026.
Tenant screening in Pennsylvania mixes a permissive fee regime with a firm, sliding-scale deposit rule. The Landlord and Tenant Act of 1951 governs the deposit, while the federal Fair Credit Reporting Act and the Pennsylvania Human Relations Act govern the report and who you may approve.
This guide walks through what you may screen, the deposit limits, fair housing, and adverse action. If you are new to the mechanics, our overview of how to screen tenants step by step pairs well with the Pennsylvania-specific points below.
Video: a plain-language walkthrough of Pennsylvania tenant screening, application fees, deposits, and adverse action.
Key Takeaways: Pennsylvania Tenant Screening Laws
- No application-fee cap. Pennsylvania does not limit screening fees, but they must be reasonable and tied to the actual cost of the report.
- Deposits step down over time. No more than two months’ rent in the first year, and no more than one month’s rent once the second year begins.
- Late returns are penalized. Fail to return the deposit or itemize within thirty days and you can owe double the amount wrongfully withheld.
- The PHRA plus federal law govern approvals. The FCRA controls the report and fair housing law controls who you approve.
What Pennsylvania Law Lets You Screen
Pennsylvania gives landlords broad authority to evaluate an applicant. With written permission you may obtain a consumer report covering credit, rental and payment history, employment and income, and public records such as criminal convictions and civil judgments, and you may decline applicants who do not meet your written standards.
Consistency is the safeguard, since the Pennsylvania Human Relations Act and the federal Fair Housing Act both turn on even-handed treatment. Our guide to the minimum credit score for renting explains how to set a threshold that screens for risk without screening out a protected class.
Application Fees in Pennsylvania: No Cap
Pennsylvania does not set a statutory maximum on a tenant application or screening fee. The practical limits are reasonableness and consistency: tie the fee to the actual cost of the report and charge the same amount to every applicant.
Uneven fees, or fees collected without genuine screening, draw fair housing scrutiny even where no cap exists. Treat the fee as part of a documented, even-handed process.
Permissive fees, firm deposits
Pennsylvania may leave the fee to you, but it does not leave the deposit to you – the sliding-scale limit and the thirty-day return are strict, and missing them carries a double-damages penalty.
Security Deposits: Two Months, Then One
Pennsylvania’s deposit rule steps down over time. During the first year of a lease, the landlord may not require a deposit greater than two months’ rent. At the start of the second year, the maximum drops to one month’s rent, and the landlord must return any amount held above one month.
After the tenancy ends, the landlord has thirty days to return the deposit with an itemized list of deductions. Fail to do so and the landlord can be liable for double the amount wrongfully withheld. Our deeper look at Pennsylvania security deposit laws covers escrow, interest, and itemization.
Pennsylvania Fair Housing and Protected Classes
The Pennsylvania Human Relations Act prohibits housing discrimination on the basis of race, color, religion, ancestry, age, sex, national origin, disability, familial status, and the use of a guide or support animal. It does not add source of income as a statewide protected class, though some cities, including Philadelphia, protect it locally.
The federal Fair Housing Act covers the same core classes, and HUD interprets sex to include sexual orientation and gender identity in housing. For the federal baseline and how it stacks with the PHRA, see our Fair Housing Act guide for landlords.
Criminal History, Credit, and Eviction Records
A criminal record can be a lawful basis to decline in Pennsylvania, but a blanket no-record policy is the most common fair housing trap. HUD’s 2016 guidance treats criminal-records screening under a disparate-impact lens, so a flat ban can violate the federal Fair Housing Act even without intent. Use an individualized assessment tied to the offense, how recent it is, and safety.
Credit history and prior evictions are cleaner when your standard is objective and consistently applied. You can read how eviction filings arise on our Pennsylvania eviction notice laws page.
The FCRA: Consent and Adverse Action
When you pull a screening report through a consumer reporting agency, the federal Fair Credit Reporting Act governs the transaction. You need a permissible purpose and written authorization before ordering the report, and you must send an adverse action notice if the report drives a denial, a higher deposit, or a co-signer demand.
The notice must name the reporting agency, state that it did not make the decision, and explain the applicant’s right to a free copy and to dispute it. Our FCRA compliance guide and the companion walkthrough of the adverse action notice spell out the requirements.
Fair Housing Compliance for Pennsylvania Landlords
The PHRA and the federal Fair Housing Act demand the same discipline: uniform criteria, uniform application, and documentation showing you treated every applicant by the same yardstick. Because some Pennsylvania cities add local protections, the rules where the rental sits matter too.
Publish your criteria before you advertise, screen every applicant against the identical standard, and keep the file. A consistent record is your strongest answer to any complaint.
A Compliant Pennsylvania Screening Process
Turn the rules into one repeatable sequence. First, publish objective criteria. Second, collect a reasonable, uniform screening fee. Third, get written consent and order the report. Fourth, evaluate every applicant against the identical standard. Fifth, if you decline based on a report, send the adverse action notice promptly – and handle the deposit on the sliding scale.
Income verification is the step landlords most often shortcut; our guide to verifying tenant income shows how to confirm ability to pay without singling anyone out. Run the same steps for every applicant and your file will tell a clean, consistent story.
Common Mistakes That Create Liability
The recurring Pennsylvania errors cluster around the deposit. Over-collecting in the first year, failing to step down to one month in the second, or missing the thirty-day return and itemization all trigger the double-damages penalty. Charging uneven application fees and denying an applicant on a report without the FCRA notice round out the list.
One standard, every applicant. Pennsylvania leaves the fee to you but pins down the deposit. Build the sliding-scale limit, the thirty-day return, and a uniform screening rubric into your standard workflow.
Documentation and Recordkeeping in Pennsylvania
Pennsylvania leaves the screening fee to you, so the file you keep is what shows the process was lawful and consistent. Retain the signed authorization for each consumer report, a dated copy of the written criteria you applied, the screening results, and every adverse action notice. A complete file showing identical treatment across applicants is the strongest answer to a Pennsylvania Human Relations Commission complaint.
The deposit carries the heavier paperwork. Track which lease year each tenancy is in so you collect no more than two months in the first year and step down to one month in the second, returning any excess. Pennsylvania also requires deposits held over certain thresholds to sit in an escrow account and to earn interest for the tenant after the second year, so keep the bank records, the sliding-scale calculations, and the itemized statement delivered within thirty days.
Set one retention policy and apply it to every file, approved or denied. A consistent multi-year record of applications, screening results, adverse action notices, escrow and interest records, and deposit accountings gives you the evidence to answer a discrimination inquiry or a double-damages deposit claim. Keeping the same records for everyone is itself proof of the even-handed treatment the PHRA and federal law require.
Do
- ✓Publish your written screening criteria before you advertise, and apply them to every applicant.
- ✓Get written authorization before pulling any report, and keep the signed consent on file.
- ✓Send an FCRA adverse action notice on every denial that rests on a consumer report.
- ✓Assess any criminal record case by case, weighing the offense, how recent it is, and safety.
- ✓Handle the security deposit and its return exactly as the state statute requires, and document it.
Avoid
- ✕Charge uneven application fees, or collect a fee with no genuine screening behind it.
- ✕Treat a permissive state as a lawless one – the FCRA and federal fair housing law always apply.
- ✕Apply a blanket ban on any criminal record, which risks a disparate-impact violation.
- ✕Improvise your standards applicant by applicant instead of following one written rubric.
- ✕Skip the deposit paperwork the statute requires, from itemization to any required notices.
Pennsylvania Tenant Screening Laws: FAQ
Can a Pennsylvania landlord run a background check on an applicant?
Yes. With written authorization you may obtain a consumer report covering credit, rental history, income, and criminal convictions. The federal Fair Credit Reporting Act requires a permissible purpose and consent before any screening report is pulled.
Is there a limit on application fees in Pennsylvania?
No. Pennsylvania does not cap tenant application or screening fees. Keep the fee reasonable, tie it to the actual cost of screening, and charge it consistently to every applicant.
What is the maximum security deposit in Pennsylvania?
No more than two months’ rent in the first year of the lease, dropping to one month’s rent once the second year begins. The landlord must return any amount held above one month at that point.
What happens if a Pennsylvania landlord returns the deposit late?
If the landlord fails to return the deposit or provide an itemized list within thirty days of the end of the tenancy, the landlord can be liable for double the amount wrongfully withheld.
Is source of income a protected class in Pennsylvania?
Not statewide. The Pennsylvania Human Relations Act does not list source of income, though some cities, including Philadelphia, protect it locally. Check the rules where the rental sits.
Can a Pennsylvania landlord deny an applicant for a criminal record?
A conviction can be a lawful reason to decline, but blanket bans are risky. HUD’s 2016 guidance warns that a flat no-record policy can create a disparate-impact violation, so use an individualized assessment tied to the offense, how recent it is, and safety.
Does a Pennsylvania landlord have to send an adverse action notice?
Yes. If a denial, a higher deposit, or a co-signer requirement rests in any part on a consumer report, the FCRA requires an adverse action notice naming the reporting agency and explaining the right to a free report and to dispute it.
Does the Landlord and Tenant Act limit deposits in Pennsylvania?
Yes. It caps the deposit at two months’ rent in the first year and one month’s rent afterward, and it requires the itemized return of the deposit within thirty days of the end of the tenancy.
How long should a Pennsylvania landlord keep tenant screening records?
Keep applications, signed authorizations, screening results, adverse action notices, and deposit accountings for every applicant – approved or denied – for several years. In Pennsylvania, a consistent retention policy is the evidence that you treated every applicant by the same standard if a fair housing or deposit dispute later arises.
When must a Pennsylvania landlord send the adverse action notice?
Send it promptly whenever a consumer report contributes to an adverse decision – a denial, a higher deposit, or a co-signer requirement. The FCRA notice must name the reporting agency, state that it did not make the decision, and tell the Pennsylvania applicant how to get a free copy of the report and dispute any error.
Related Pennsylvania and Screening Guides
- Tenant screening laws by state – compare Pennsylvania to the rest of the country.
- Pennsylvania security deposit laws – deductions, itemization, and the return deadline.
- Pennsylvania eviction notice laws – notice periods and the eviction timeline.
- Pennsylvania rent increase laws – notice rules for raising the rent.
- Pennsylvania late fee laws – what you can charge for late rent.
- How a tenant background check works – what a report includes.
- Pennsylvania habitability laws – your maintenance obligations as a landlord.
Screen Pennsylvania Applicants the Compliant Way
Order FCRA-ready credit, criminal, and eviction reports and keep your Pennsylvania process consistent from application to decision.
Published by Tenant Screening Background Check · Editorial Team
Established 2004. Our editorial team has spent two decades helping landlords and property managers run lawful, FCRA-compliant tenant screening across all 50 states. We translate state landlord-tenant codes and federal screening rules into processes you can actually follow.
Legal Disclaimer
This article is for general informational purposes only and is not legal advice. Pennsylvania and federal laws change, and how they apply depends on your specific facts. Before acting on any screening, fee, deposit, or fair housing question, consult a licensed attorney in Pennsylvania. Reading this page does not create an attorney-client relationship.
