Top Questions and Answers about Tax Anticipation Loans

This tax season, which is in full swing, you may hear a lot about something called a tax anticipation loan. You may even be offered one by the person who prepares your taxes. But, if you’re not sure you fully understand what these loans entail, you’re wise to ask questions and get answers before you go ahead and apply for one. A tax anticipation loan is a personal loan, usually small, that you can get in expectation of a tax refund coming from the government.

To decide if tax anticipation loans make sense for you this tax season, get your questions answered. Maybe you aren’t even sure what to ask. With that in mind, we’ve compiled a list of some of the most common questions people have about tax loans, along with some useful answers so you can make a smart decision.

What is a Tax Refund Advance?

Also known as a tax advance, a tax anticipation loan, and other names, a tax refund advance is a small, personal loan that many people apply for during tax season as a way to get refund cash sooner. Think of it as an advance on the refund you are expecting to get from the government because the actual check you’ll get may take weeks to arrive.

While many people turn to these loans during tax time and do so when they know they are getting a refund, these are not requirements for a tax anticipation loan. Most lenders who offer the loans will offer them at any time of year and won’t make you prove that you have a refund on the way. On the other hand, many borrowers feel better taking out a loan knowing that they have that money coming eventually.

When Will I Get my Tax Refund?

A big reason that people turn to tax loans is that they don’t want to wait to get their actual refunds. They have uses for that money that are more immediate. Even if you get your taxes in as soon as the IRS accepts filings, you’ll still wait at least 21 days, or three weeks to receive your refund cash. And, this is only if you do everything right. Getting your cash in less than a few days is a great reason to take advantage of tax anticipation loans this year.

Will My Tax Refund Be Delayed?

There are a lot of reasons why tax refunds get delayed. Even without delays, it can take a decent amount of time before you see your cash, but with delays it can take months. You may have a delay if you are late filing your taxes, even if you file an extension and pay on time, you still may see a delay in your refund. You may also be delayed if there is an error on any of your forms, even a small one.

Another reason some people may see delays in refunds this year is the government shutdown. When the federal government shut down operations for a few days, it meant the IRS wasn’t working. This means you could see a delay in your refund. It could be even longer if there is an additional shutdown between now and the end of tax season. The government has further complicated the process by making changes in 2017 that may add to the slow processing of filings and refunds for 2018.

Who Offers Tax Anticipation Loans?

There are many lenders and services that may offer refund loans, but they are not all the same. If you use a tax preparation service, for instance, they may offer you a loan at the end of the process. Some banks or cash advance stores may also offer them, but the best tax loans are actually found online, not in these more traditional settings.

eTaxLaon.com, for instance, is an online tax refund loan service that offers these loans year-round, not just during tax season. They also don’t require that you prove you have a refund on the way, which means you can get a loan right now, even if you haven’t filed your taxes yet. They offer tax loans by providing an online application that goes right to a pre-screened and exclusive network of tax lenders.

Are Tax Refund Loans Online Safe?

This may lead to your next question, about the safety of any type of online loan. If you have never used an online lending service, it’s natural to be a little nervous about it initially. Doing business online has the potential to be risky, but if all reasonable measures are taken to keep information safe, it can be both secure and convenient.

At ETaxLoan.com, for instance, there are policies in place to ensure that borrowers are protected. These include the best encryption software to deter hackers and a policy of not selling information to third party groups. When you apply here your information goes to a lender who can help you and no one else. You can even opt out of marketing opportunities so that you won’t get those irritating spam emails, calls and texts.

Will I Get Approved for Tax Anticipation Loans?

Getting approved for any kind of loan is no small feat. It often requires jumping through a lot of hoops and getting through a ton of red tape. For a lot of loans you have to show that you have good credit or some kind of collateral, and you have to spend hours on paperwork and forms. This is not the case with a good online tax anticipation loan.

With online tax loans you can get approved much more easily than you would for other, more traditional loans. For instance, the application itself is much shorter. You don’t have to provide endless amounts of information about yourself, your taxes, your refund, or your credit history.

What stops most people who get denied for standard loans is poor credit, but with these online tax anticipation loans, credit just isn’t a big factor. Even with poor credit or limited credit history, you can get approved for a tax loan. The main criteria are related to your job history and income. Show that you have a regular income commensurate with the amount you want to borrow, and you will most likely get approved.

How Long Does it Take to Get Cash from a Tax Anticipation Loan?

Unlike the IRS, lenders behind online tax loans work fast to deliver cash to borrowers. When you apply for a tax anticipation loan, you will spend just minutes on the application. You can expect to get approved, or at least to get an answer, in about 90 seconds, and you will get a cash transfer almost immediately. For most people getting one of these loans, the cash is then available in their bank accounts by the next morning.

How Do I Apply for an Online Tax Anticipation Loan?

To apply you can go to eTaxLoan.com and use the online application. It’s short and easy to fill out, and once you do, you’ll have access to tax lenders who will do their best to get you approved. Another option is to download the mobile app and use that to apply in the same way. The great thing about the app is that you only have to download it once, and you will always have access to the loan application on your phone, no matter where you are.

How Do I Repay my Tax Anticipation Loan?

Repayment couldn’t be any easier for these tax loans. Like with other online personal loans, you’ll be responsible for repaying the full amount on a specified date, often on your next payday. To make it easy for you, your lender will simply deduct what you owe right from your bank account. This is a great feature because it means you don’ have to try to remember the due date. It really eliminates costly errors, such as late payments.

Now that you have all the information you need about tax anticipation loans, you can make a smart choice about borrowing this tax season. Is this the year you get your refund early? Is this the tax season when you take advantage of these great loan offers? Instead of dreaming about what you will do once you get your refund cash, get it and spend it now. If you apply today, you could have that money as early as tomorrow. Apply online or with a convenient mobile app you can use on the go.