I heard that at around this time of year if you go to h and r block or amscot you could use your last paystub to get an advance (refund anticipation loan) before you get your W-2 in Jan.? Has anyone done this or tried to do it or does it just sound bogus? Someone told me they did it for christmas money but if you really could then dont you think everyone would????
2007-10-07 09:10:32 · 11 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
This was available last year at H&R Block and at least one other tax services starting in November. It was not actally a refund anticipation loan since you were not filing your taxes. It was a personal loan of a limited amount based on an estimate of what your refund would be. There was no fee for applying but the bank did charge interest from then until Feb 15th. For most people this gave them time to get their w-2's and file their taxes. If this was done the loan amount was deducted from their refund. The problem was if the loan was not repaid the intrest was very high. My understanding is that this may of may not be available this year because of the number of defaults on the loans.
A Refund Anticipation Loan, which is based on an actual tax return, is repaid when your refund is sent to the lending bank and is less risky. These loans are available in Jan when w-2's become available.
As to why everyone did not take advantage of the personal loans before the holidays, they were typically used by people who needed the extra cash at Christmas to buy presents for family.
2007-10-07 09:34:58 · answer #1 · answered by BigDog507 5 · 0⤊ 0⤋
They have discontinued that - too many problems. It was really just a high-interest, high-fee loan, not getting your refund in advance. And no, everyone wouldn't - most people don't want to pay the extremely high interest and fees that were charged for those loans.
You'll be able to file your tax return in January if you have all your paperwork. Employers aren't required to have W-2's out until Jan 31, so could be early February before you can file.
2007-10-07 09:23:05 · answer #2 · answered by Judy 7 · 2⤊ 0⤋
Those loans have terrible interest rates/fees - you should just file and wait the weeks for your refund - it shouldn't be that big a deal. If it's that much money, then change your withholding so there's not so much refund to wait for - you can change your withholding now for the rest of this year if you're confident you'll be getting a large refund.
And decide whether to keep it for next year.
2007-10-07 11:04:58 · answer #3 · answered by heart_and_troll 5 · 0⤊ 0⤋
Just an additional comment. When I worked in corporate America as a controller, I prepared the w-2 forms between Christmas and New Years. An employee asked if I could do his return asap. Seeing he had no other sources of income except for the income from our employer, I told him to come see me on December 30th. I prepared his return (manually) and mailed it in. (This was before computer processing and e-file). He received his refund 8 days later.
As soon as you get your w-2 form, prepare your return.
2007-10-07 09:51:12 · answer #4 · answered by IRENE THE BOOKIE 3 · 0⤊ 0⤋
I think you actually can do something like that, but I am not sure how soon you can do it. It would be an anticipation loan. They would give you a percentage of the refund you received last year and charge you interest on that amount that would have to be paid back when you receive your actual refund. Check out the fine print and detail before you would decide to do something like that.
2007-10-07 09:19:57 · answer #5 · answered by Badkitty 7 · 0⤊ 2⤋
My husband and I received one of these loans last year and let me tell you it was a lifesaver tor the children's Christmas. If you don't mind paying a couple hundred dollars extra to receive money early it is worth it. However I heard that they will be giving out advance loans this year only up to $500 and only to those who followed through and filed their taxes with hr-block to repay back the loan (which we did). Sorry about you other suckers who couldn't be faithful to your agreement!
2007-10-08 05:15:32 · answer #6 · answered by bigmomajill 1 · 0⤊ 0⤋
Officially, you can file when you have all your documents (W-2's, 1099's etc.) What H&R offers is a high interest loan based on your anticipated refund.
2007-10-07 09:18:18 · answer #7 · answered by Suzy 5 · 1⤊ 1⤋
I attempted to do this, but was not approved. They will do it for some, and I heard it starts sometime around Thanksgiving. I don't know what the requirements are, but I know a lot of people who tried with different types of credit and they were all denied.
If you go into this place and do this R.A.L, then you have to go back to them to get your actual taxes done.
2007-10-07 10:56:30 · answer #8 · answered by missteaus 2 · 0⤊ 1⤋
Well I live in Florida and yes they have that here you can get any where from $500.00 to $1000.00 and it comes out of your income tax refund.
2007-10-11 07:13:16 · answer #9 · answered by emigirl6363 2 · 0⤊ 0⤋
you are able to't document till one million January 2008. maximum agencies and maximum banking institutions won't deliver you the counsel you like formerly the top of January, it fairly is whilst they are obligated by skill of regulation to deliver the stuff, yet once you take place to get ahold of all your needed papers, you are able to document as early in the calendar 365 days of 2008 as you like. i'm hoping that helps.
2016-10-21 08:58:36 · answer #10 · answered by ? 4 · 0⤊ 0⤋