Now that tax season is underway, the Camden County Board of Freeholders and the Division of Consumer Protection/Weights and Measures would like to remind residents to beware of “instant” or “fast” tax refund programs from tax preparation firms and tax preparers.
These refunds are really Refund Anticipation Loans (RALs), which have high interest rates and many fees that reduce your tax refund.
“While the thought of being able to walk out of a tax preparer’s office with money already in your pocket is tempting, these Refund Anticipation Loans may not always be in your best interest,” said Freeholder Carmen Rodriguez, liaison to the Division of Consumer Protection. “Our division is working to get this message out so that as our constituents file for their tax returns, they get back the kind of refund they deserve.”
There are four main questions a consumer should ask to ensure they are getting the most out of their refund:
What is the cost of the RAL, including all preparation, filing and bank fees?
Are the costs and fees of the RAL disclosed in the paperwork?
What is the interest rate of the RAL?
How soon can I expect a refund if I file with the IRS directly?
Consumers who believe they signed up for an RAL without receiving full disclosures may file a complaint with the Camden County Division of Consumer Protection by visiting the division’s Web site under the Health tab of www.camdencounty.com, or call (800) 999–9045, 364–6161, or 374–6001 for more information.
