Refund Transfers (RTs)

How does it work?

  • Taxpayer's refund is direct deposited from IRS or State with Republic Bank.
  • Republic Bank’s Refund Transfer Fee is deducted from the refund money received.
  • Additionally, all Transmitter, Service Bureau, Tax Preparation, Audit Fees and other authorized amounts are deducted from the refund and automatically forwarded to the appropriate party as authorized by the customer.
  • The remainder of the refund is disbursed to the customer by a bank check printed at the tax office or direct deposit to the customer’s personal bank account, NetSpend Visa® Prepaid Card or Walmart Direct2Cash.
  • The Refund Transfer Fee will be charged upon receipt of the first funding, regardless of whether it is a federal or state refund. A Subsequent Funding Fee will apply for each additional funding we receive, regardless of whether it is a federal or state refund.

How long does it take?

  • Depends on when the IRS or State releases the refund to Republic Bank.
  • Currently, the IRS estimates a refund from an e-filed return to be released within 21 days. Taxpayers and EROs should consult or their State’s Department of Revenue website for the most up to date estimates on refund processing times.
  • What about PATH Act? The PATH Act is federal legislation that prohibits the IRS from releasing refunds for taxpayers claiming Earned Income Tax Credit and/or Additional Child Tax Credit prior to Feb 15, 2017. The passage of this legislation means up to 6 plus weeks of refund delays.
  • It will be important to let your taxpayers know if their return has one or both of these credits, so you can set the expectation of when they might get their refund. This will help reduce the number of phone calls to your office about where their refund is.
  • Once received, we immediately process the refund by deducting the fees authorized by the customer and releasing the money according to the disbursement option chosen.

Why do customers choose a Refund Transfer?

  • Convenience – Many taxpayers choose an RT so they can have their taxes professionally prepared and pay tax preparation and other related fees with their refund money. This is a very convenient way to pay the fees associated with their tax preparation without having to pay anything up front.
  • Speed – An RT allows customers without bank accounts the benefit of having their refund processed safely as a direct deposit rather than waiting additional time for their check to be printed and mailed from the IRS. Customers without bank accounts can choose a bank check with many low cost options for check cashing available, a NetSpend Visa® Prepaid Card or Walmart Direct2Cash which often provides many benefits of a traditional bank account.
  • Security - Many taxpayers, even those with bank accounts, prefer to pick up a bank issued check from the safety of their tax office rather than receiving an IRS issued check in the mail or a direct deposit.