Stuff I’d Like to See General Tax Refunds: You Don’t Have To Pay To Borrow Your Own

This topic contains 7 replies, has 1 voice, and was last updated by BiggerPiggyBank March 9, 2007 at 4:01 pm.

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    BiggerPiggyBank
    Participant

    Tex Refunds, etc.

    It doesn’t cost half your refund, unles you are only getting about
    $300 back, and then, really, what’s the point in getting a ral?

    the ral’s will cost you about $100-150 extra to get, because the
    theory behind them is that the company who gives it to you (usually
    H&R Block), is lending you thier money, and you are signing over
    your refund to them. it’s the same as getting a short term pay day
    loan. you pay high fees to get the money immediatly.

    the reason they charge so much is because there are people who have
    debts with the us, or loan companies, and who have thier refund
    garnished by the government in order to pay the debt. because this
    isn’t common knowledge when the taxes are processed byt he
    accountant, they are making themselves (and you) liable for the
    money given immediatly.

    the debt to the accountant will be treated the same as any debt, but
    people who might be desperate for the money, and think or know the
    money will be garnished, might do this to get the money anyway.

    it doesn’t always work that way, and you still have to have decent
    credit to qualify for the ral, but it does happen.

    the ral is different from asking your money to be direct deposited
    into your banking account, which is free of charge to do. that
    ensures that your money arrives faster because you do not have to
    wait until a check is cut, then mailed, before you get the money.

    it costs nothing extra to get it direct deposited. additionally,
    over the past few years, the government has significantly upped the
    amount of people who process online returns, and significantly
    downed the amount of people who process mail in returns.

    because of this, an online return sent in on feb 1st, and a mail in
    return recieved on Feb 1st will not be processed in the same amount
    of time.

    The mail in will take 4-6 weeks to even be looked at, though the
    earlier it is mailed in, the better your chances of beating the rush
    are. So, 4-6 weeks later, someone processes the return. Within 2
    weeks, your check is cut, and either mailed or deposited.

    If it’s
    mailed, figure another week of time to get it into your hands. So,
    by mailing it in, it can take up to 9 weeks to get back into your
    hands.

    For people who mail their taxes in on April 15th, it can take up to
    12 weeks to be processed now.

    Now, the person who efiled on Feb 1st will have thier return
    processed within 1-2 weeks. Thier return will be deposited within 1-
    2 week, or sent out. Add another week for mail time, and the person
    who did efile has a check in hand no later than the end of February,
    or the begining of March.

    The longer you wait to efile, the longer
    it takes to return, but because there are literally 3 times as many
    people processing online returns as mail in returns, it will still
    not take nearly as long to process.

    What does all this mean? If you want your refund fast, and to get as
    much out of it as you can, file it immediatly by efile, and direct
    deposit the money.

    One year, we got our taxes filed the 1st of February, and we got
    them back in our bank just before Valentine’s Day.

    — In Budget101_@yahoogroups.com, “The Osenbaugh’s”
    wrote:
    >
    > < taxes and he has it deposited to my checking or saving account it
    cost me money and how much. If he has it snail mailed to me there is
    no cost. If this is not correct please let me know.

    >>
    >
    > No the group is talking about using Refund Anticipation loans.
    The accountant will charge you for preparing your taxes no matter
    what, but if you have the refund direct deposited or issued in a
    check form, it will not cost you anything additional. A refund
    anticipation loan WILL cost you….about 1/2 of your refund.

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Stuff I’d Like to See General Tax Refunds: You Don’t Have To Pay To Borrow Your Own