X-PRESS REFUND Advance Loans - Fiscal Tax (2024)

FAQs

Is a tax refund advance a loan? ›

Refund Advance is a loan based upon your anticipated refund and is not the refund itself. 0% APR and $0 loan fees.

Con: Traditional Tax Refund Advance Loans Are High-Interest Debts. Of course, paying off high-interest debt only makes sense if the loan is a low-interest debt. Traditional refund advance loans often carry origination fees or other fees that turn them into high-interest loans.

The Refund Advance is an optional tax-refund related loan provided by MetaBank, N.A., Member FDIC (it is not the actual tax refund) at participating locations. Program availability and loan amounts may vary based on state and software provider.

Tax preparers and tax-filing companies commonly offer refund advances. You may see payday lenders offer similar services, too, but they'll likely be much more expensive. For instance, Jackson Hewitt offers an early tax refund loan with an APR of 35.53%. Payday loans, on the other hand, have an average APR of 398%.

To get a tax refund loan, you'll typically need to file your taxes with the preparer that provides the loan. You might be able to do so online, but some firms will require that you file in person. The tax preparer will review your application. Besides your tax return, they may look at your income and credit.

You're paying to borrow your own money.

In exchange, they agree to pay an interest rate that could, when expressed as an annual percentage rate (APR), add up to a triple-digit rate. In most cases, the lender sets up an account that is used solely to receive the taxpayer's IRS refund.

Secondly, a refund advance may cost you, even if it's advertised as 0% APR. There could be hidden fees, including a requirement to pay for tax filing services, which can be pricey. Plus, some services may charge high interest rates, making this a more expensive type of loan.

You will not be eligible for the loan if: (1) your physical address is located outside of the United States, a US territory, a PO box or a prison address, (2) your physical address is in one of the following states: IL, CT, or NC, (3) you are less than 18 years old, (4) the tax return filed is on behalf of a deceased ...

You can use your tax refund to repay the loan or repay by debit card, bank account transfer or check. The loan must be repaid by March 31, 2024. H&R Block's Refund Advance loan is available starting in January 2024. The Refund Advance has no interest or fees, but it requires filing your taxes with H&R Block.

FAQs about Refund Advance. When can I get a Refund Advance loan? The Early Refund Advance was available at select locations December 11, 2023 until January 14, 2024. No Fee Refund Advance will be available as early as January 2, 2024 at most locations until February 11, 2024.

How long does it take to get approved for refund advance? ›

If you are approved, your Refund Advance funds are typically available within 4 minutes of the IRS accepting your e-filed tax return. The IRS generally starts accepting returns in late January. Once approved, you'll receive an email when your Refund Advance funds are available to spend.

The EIP Card is sponsored by the Bureau of the Fiscal Service and is issued by Treasury's financial agent, MetaBank, N.A. The IRS does not determine who receives a prepaid debit card.

Personal loans can be made by a bank, an employer, or through peer-to-peer lending networks, and because they must be repaid, they are not taxable income. If a personal loan is forgiven, however, it becomes taxable as cancellation of debt (COD) income, and a borrower will receive a 1099-C tax form for filing.

A Tax Refund Advance Loan is a loan that tax preparation services such as Jackson Hewitt at Walmart Stores, H R Block, Turbotax, Liberty Tax Service and LA PREMIER TAX offer to anyone who would rather have their tax return today rather than waiting for the IRS (Internal Revenue Services) to process your tax return.

Many tax refund advance services also come with no interest or fees. Once your refund is processed by the IRS, you'll repay the tax company the amount you borrowed in advance while keeping the remainder of your refund. You might qualify for a tax refund advance loan even if you have poor or fair credit.

If at the end of the year you've taken more premium tax credit in advance than you're due based on your final income, you'll have to pay back the excess when you file your federal tax return. If you've taken less than you qualify for, you'll get the difference back.

MCCs are not a loan product, but rather a federal tax credit. MCCs are certificates issued by HFAs that increase the federal tax benefits of owning a home and helps low- and moderate-income, first-time homebuyers offset a portion of the amount they owe in mortgage interest.