Why do I owe the bank?

Question

I did Fast Tax refund with Jackson Hewitt about 3 or 4yrs ago...... They issued me a check with in 2days from a bank and my understanding was that the bank would receive my refund from the Irs....... well now i am receiving bills from that particular bank for about 900.00 when my refund was about 4000.00... I also had to pay the irs 1200.00 dollars that year cause of missing w2s. Why is this bank coming back on me when they should be dealing with the irs? Jackson Hewitt wont answer me they want me to contact the bank... i dont know what to do.

i still have my paper work from that year, is there anything i can look for to see if there were any mistakes? How do i know what the irs sent them? If the irs sent them the whole 4000, how would i know?

Answer 1

I would contact the IRS directly to find out exactly how much of your anticipated $4,000 refund was actually released to the bank that year to cover your loan. After you have gotten that information, you will be able to deal with the bank. The loan papers that you signed are between you & the bank. The IRS released your refund at the same time they would have if you had requested a paper check or direct deposit into your own bank account. If you hadn't gotten a Refund Anticipation Loan, you would have known as soon as the check/deposit was received that your refund was less than what was shown on your tax return. Jackson Hewitt has no way of knowing what was deposited at the bank 3 or 4 years ago. It really is an issue that you'll have to discuss with the bank.

Answer 2

The Fast Tax refund is a BANK LOAN. That means if for some reason the IRS lessened or refused your refund, YOU are responsible for it. Didn't you read your paperwork?

If you filed for the yr in question without all of you proper W-2's, then it is possible that you received too much Earned Income Credit (or other such tax liability offset) that you were not entitled to.

Jackson Hewitt guarantees the returns they prepared. Basically, if they screw up your return, they pay penalties and interest (if you upgrade the guarantee, they will also pay up to $5,000 in tax owed). But again that is only if THEY make a mistake. They will not honor the guarantee if you failed to provide all the accurate information.

Go into JH, ask them to review the return for that year, and ask if they can offer you any suggestions.

Answer 3

Well, apparently the refund from the IRS wasn't enough to cover the refund anticipation loan, therefore they are coming after you for the money. The IRS has absolutely nothing to do with it. Neither does Jackon Hewitt, since they only prepared the return and processed the paperwork with the bank. You need to deal with the bank to work it out.

Answer 4

You got a rapid refund LOAN, you signed the papers with the bank, You had a Tax bill with the IRS,the IRS did not make an agreement with the bank YOU owe the bank the money,

Answer 5

This is a new one to me, but I'll give you some of my thoughts on it. First, what I can say for sure is that the bank is sending you notices because you are their customer, not the IRS. The only reason I can think of that you would owe them money, if it actually has anything to do with the refund, is if the IRS reversed the deposit when they discovered you owed them money instead of getting a refund, which caused other checks to bounce. A reversal of direct deposit usually has to be done almost immediately, but we all know the IRS doesn't always have to follow the same rules as everyone else.

Answer 6

They shouldn't be dealing with the IRS. YOU took the loan, so if there wasn't enough in your refund to pay it off, then YOU are responsible for the balance.

Answer 7

Your screwed by a theif

Send copies to your Atty Generals office and the FTC

Answer 8

wow you poor girl!.!.