Are You Taking Full Advantage of Direct Deposit?
It’s easy to take conveniences like direct deposit for granted without fully understanding how it works or why you should use it. You may have...
1 min read
Filing taxes is rarely a task people enjoy. However, chances are if you expect to get a refund, you'll want it fast. According to the Federal Deposit Insurance Corporation (FDIC), here are a few tips to ensure your money arrives as quickly and safely as possible:
Make sure your return is accurate and complete
Your refund may be held up if your return contains a mismatch of the information you provide with what the IRS has on file, simple mistakes or typos, math errors on your part, or if it is missing documents — all of which are avoidable if you take care to double check everything before filing, according to CNN.com.
File your return electronically
Paper returns take the IRS longer to process — and can add weeks, if not months, to when you'll get your refund. "If you filed on paper and are expecting a refund, it could take four weeks or more to process your return," the IRS notes on its website.
Opt for Direct Deposit
The fastest way to get your tax refund is to have it electronically deposited into your bank account through the IRS Direct Deposit Program. It’s free to consumers, and it allows you to deposit your refund into as many as three separate accounts. Here are Steps to Take Now to Get a Jump on Your Taxes.
While you can still receive your refund in the form of a paper check, there are several advantages to direct deposit. Not only is it faster, direct deposit is also more secure. Refund checks sent through the mail can be lost, stolen, or returned to the IRS, if undeliverable. If you don’t already have a bank account, this might be the perfect time to open one.
In some cases, instead of a financial account, you may be able to have your refund deposited onto a prepaid debit card. But the FDIC urges filers to, "read the fine print and make sure you know how to deposit money onto the card and any fees involved.” Cards differ in the types of deposits allowed, the process for receiving government deposits, and the fees charged for certain transactions.
The IRS created an online tool — Where's My Refund? — to help you keep track of your refund after submitting your return. So you can know when to expect your money, and be watching for the funds to be deposited as you directed.
Tax season can feel daunting. But with a little knowledge and planning, you can be prepared and have a positive experience.
The content on this site is intended for informational purposes only and should not be considered accounting, legal, tax, or financial advice. First Federal Bank recommends that customers conduct their own research and consult with professional legal and financial advisors before making any financial decisions. Links to third-party websites may be provided for your convenience; however, First Federal Bank does not guarantee the reliability, accuracy, or safety of the information, products, or services offered on these external sites. We are not liable for any damages resulting from the use of these links, and we do not investigate, verify, or endorse the content or opinions expressed on any third-party sites. First Federal Bank | Equal Housing Lender | NMLS # 408902
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