Watch out for instant cash back and refund anticipation loans
If you’ve seen ads on buses, subway trains, and television and heard them on the radio, you know about “fast cash”, “instant tax refunds” or Refund Anticipation Loans (RALs). These can cost up to $350 dollars. If you file your taxes electronically and use direct deposit to put the money in your bank account, you will have your refund in only 5 to 10 days. By filing online through the Beehive or going to a free tax preparation site in your community, you can file your taxes for free and still get a quick refund.
Avoid check cashing outlets
These will charge you high fees to cash your tax refund check. Instead, use direct deposit to put the money straight into your checking or savings account. You can also cash your tax refund at your bank at no charge or open an account with your refund.