Good news! There is now a way to receive your tax refund in less than a day. Refund Advance program allows you to get money in as little as 1 hour after the IRS accepts your tax return!
How does it work?
At the end of the process of preparing your tax return, you are given options on how you would like to get the refund delivered. The most common choice for online filers is a direct deposit. Selecting that option ensures you receive it within 21 days, although that time is typically significantly shorter. Now, when selecting how to receive the money, you will have a choice to select Refund Advance.
This process involves applying for a Turbo Visa Debit Card, and once approved, you can expect to have access to funds within an hour. Even though the physical card will arrive in 5 to 10 business days, you can start spending online – using a virtual card – as soon as the funds are available to you. When the IRS completes processing your tax return and issues the refund, a portion that was advanced to you gets repaid and the remainder gets loaded onto your Turbo Visa Debit Card.
Who is eligible for Refund Advance?
Some basic eligibility for Refund Advance includes:
- Your federal refund has to be no less than $500
- You have to be 18 or older
- The offer is not available to the residents of North Carolina or Illinois
- You have to e-file your tax return with TurboTax
- The physical address has to match the one on the tax return
- Not eligible to taxpayers filing the following forms: 1310, 1040SS, 1040PR, 1040X, 8888, or 8862
- You must report your income on one of the following forms: W-2, 1099-R, Sched C, or Sched CEZ.
The Refund Advance amount is based on the Federal refund you anticipate based on the tax return you file. It ranges from $250 all the way to $3,000. Based on the schedules released by TurboTax, the maximum amount you could get is about 50% of your expected refund. Here are the amounts you can expect to be loaned: $250, $500, $750, $1,000, $1,500, $2,000, $2,500, and $3,000.
Other factors that go into consideration when determining the refund amount are personal information, tax information, and third-part data, which may likely include your credit score.
Refund Advance is technically a loan against your anticipated federal refund. Even if you expect to receive a refund, it is not guaranteed that you will get approved for Refund Advance. What is imperfect about this process is that you won’t know whether or not you were approved until after you have filed your return. In case you really need the money right away, you may find yourself in a situation where your tax return is accepted, but you have to wait until the IRS deposit the refund in your bank account.