Direct Deposit

Why You Should Take Advantage of It - Even for Your Tax Refund

 
 

Today we are discussing the importance of direct deposit for filing your tax returns. We will be covering the various benefits of having direct deposit, from how easy it is to use to how it protects users from fraud.

When filing your tax returns, you have multiple options: you can do it yourself, file online using companies like HR Block or Turbo Tax, or file in person at a local tax preparation company or CPA firm.

When it comes to banking, we believe that efficiency is key as it saves our members time and reduces hassle. Because of this, Coloramo offers free direct deposit into both your savings and checking accounts. When e-filing or mailing in your returns, you can choose to have any refunds directly deposited to your account. By doing this, you can typically get your refund faster. You can even direct your tax refund(s) to multiple accounts.

IRS fraud is continually on the rise. By using direct deposit, you lower the chances of having your tax refund stolen, since paper checks can be altered and cashed by perpetrators.

Since the beginning of the pandemic, the IRS has sent out stimulus checks to help during challenging times. The majority of tax payers who get their refunds through direct deposit receive their stimulus check almost two weeks earlier than those who receive paper checks!

Some helpful tips to keep in mind when setting up direct deposit for your tax refund:

1. Make sure you give the correct account information to the IRS.

2. Keep all information private. The IRS will almost never call you for information. If you do receive a call, email, or other communication from someone claiming to work for the IRS, chances are it is fraudulent. You can always call us if you have any questions or concerns over what may or may not be fraud relating to your direct deposit and/ or your tax returns.

3. Check the IRS website for beneficial information and to receive updates on your return status: https://www.irs.gov.

Please give Coloramo a call to talk to a representative about setting up direct deposit or to discuss any questions that you may have. We are always happy to help educate and advise our members in any way that we can.