Yes, you can still get a refund advance, but the process and timing have changed

Tax refund advances are still available, but they work differently than they did five or ten years ago. The major tax preparation companies—H&R Block, Jackson Hewitt, Liberty Tax—still offer them, usually under names like "Refund Advance" or "Rapid Refund." The core mechanics remain the same: you get money before the IRS processes your return, and the loan is repaid from your actual refund when it arrives. What has shifted is speed, cost, and availability.

The IRS no longer issues refunds as quickly as it once did. Processing times have stretched from weeks to months in many cases, especially for returns with credits like the Earned Income Tax Credit (EITC) or Child Tax Credit. That delay is why refund advances still exist—they bridge the gap between filing and receiving your money. But because the IRS is slower, the lenders holding the advance are waiting longer to be repaid, and that cost shows up in higher fees.

You can still get an advance the same day you file your return at a tax preparation office, or within one to three business days if you file online. The money typically lands in your bank account or on a prepaid card by the next business day. The catch is the fee: expect to pay $50 to $200 depending on the lender, the size of the advance, and whether you use a tax preparer's office or explore online.

Key Takeaways

  • Refund advances are available from H&R Block, Jackson Hewitt, Liberty Tax, and some banks and credit unions, but each charges different fees and has different terms.
  • You must file your actual tax return first—the advance is secured by your refund, so the lender needs to see your return before they will fund it.
  • The IRS takes longer to process refunds now than in past years, so the lender's wait time is longer and fees have risen accordingly.
  • If your return includes EITC or Child Tax Credit, the IRS holds the refund until mid-February at the earliest, which means the lender's risk is higher and the fee will reflect that.

Who offers refund advances and what they cost

The main tax preparation chains—H&R Block, Jackson Hewitt, and Liberty Tax—all offer advances at their office locations. H&R Block calls theirs a "Refund Advance" and charges a fee that varies by state and the size of the advance; in most places it ranges from $50 to $150. Jackson Hewitt offers "Rapid Refund" with similar pricing. Liberty Tax's "Liberty Advance" works the same way.

Some banks and credit unions also offer refund advances directly to their customers. Navy Federal, for example, offers advances to members who file through their portal. Credit unions often have lower fees than tax prep chains—sometimes $25 to $75—but availability is limited to members and the process process is usually online only.

A few online tax filing services partner with lenders to offer advances. TurboTax, for instance, does not offer an advance itself, but directs you to third-party lenders at filing time. These lenders charge fees similar to the tax prep chains, and you will see the exact fee before you agree to it.

The fee is not the only cost. Some lenders charge interest on top of the fee, though most major tax prep chains do not—they charge a flat fee only. Always ask whether the quoted fee includes interest or if interest will be added.

How the advance process works, step by step

The process starts with filing your return. You cannot get an advance without a completed return because the lender needs to see your refund amount and verify it with the IRS. If you file at a tax prep office, the preparer will ask if you want an advance at the same time. If you file online, you will usually see the advance offer at the end of the filing process, before you submit your return to the IRS.

Once you agree to the advance, the lender pulls your return information and runs a quick verification with the IRS to confirm your refund is real. This usually takes a few minutes to a few hours. The lender then approves the advance amount—which is typically less than your full refund, usually 80 to 90 percent of it—and you sign a contract stating that the advance will be repaid from your refund.

The money is then deposited into your bank account or onto a prepaid card, usually within one business day. The fee is deducted from the advance, so if your refund is $2,000 and the fee is $100, you receive $1,900. When the IRS processes your actual refund, it goes to the lender first, the advance is repaid, and any remaining balance goes to you.

The timeline depends on the IRS. Standard refunds without credits are processed within 21 days of filing. Refunds that include EITC or Child Tax Credit are held until at least mid-February, even if you file in January. This delay is why the lender's risk is higher for those returns, and why fees are sometimes higher if your return includes these credits.

When a refund advance makes sense and when it does not

A refund advance makes sense if you need the money urgently and the fee is worth the wait time you save. If you file in early February and would normally wait until late February or early March for your refund, paying $75 to $100 to get the money in two days might be worth it. If you file in mid-January and can wait three weeks, the fee is harder to justify.

The math changes if your return includes EITC or Child Tax Credit. The IRS will not process those refunds until mid-February at the earliest, sometimes later. If you file in January, you are looking at a six-to-eight-week wait. In that case, a $100 fee to get the money in two days is more reasonable. But check whether the lender is charging a higher fee for EITC returns—some do.

A refund advance does not make sense if you have other options. If you have a credit card or a line of credit available, borrowing against that might be cheaper than the advance fee, depending on the interest rate and how quickly you can repay it. If you can wait for your refund, waiting is always cheaper than paying a fee.

Be cautious if the advance fee is more than 5 percent of your refund. A $2,000 refund with a $150 fee is 7.5 percent—that is steep. A $500 refund with a $100 fee is 20 percent—that is very steep. Compare the fee to what you would pay for a short-term loan or credit card cash advance, and choose the cheaper option.

What happens if the IRS rejects or reduces your refund

If the IRS processes your return and reduces your refund—because of an error, a missing document, or a discrepancy with income reported by your employer—the lender still gets repaid first from whatever refund you do receive. You are responsible for repaying the full advance amount, even if your actual refund is smaller.

For example, if you received a $2,000 advance and the IRS ultimately issues a $1,500 refund, the lender takes the $1,500, you owe them the remaining $500 from the advance, plus the fee you already paid. You will have to pay that $500 out of pocket. This is why the lender typically advances only 80 to 90 percent of the estimated refund—to leave a buffer.

If the IRS rejects your return entirely—because of identity theft, a duplicate filing, or a serious error—you owe the full advance amount when ready. The lender will contact you for repayment. This is rare, but it happens, and it is a real risk you take when you accept an advance.

Before you accept an advance, make sure your return is accurate. Double-check your Social Security number, your income figures, and any credits you are claiming. If you are unsure about something, ask the tax preparer or a tax professional before filing.

Alternatives to refund advances

If the fee is too high or you do not want to take on a loan, you have other options. The simplest is to wait. The IRS processes most refunds within 21 days if there are no credits, and within six to eight weeks if there are credits. That is not fast, but it is free.

Some employers offer paycheck advances or emergency loans to employees. If you work for a large company, check with your HR or payroll department to see if this is an option. The terms are usually better than a refund advance because the employer is lending to you directly, not a third party.

If you have a bank account, some banks offer short-term loans or lines of credit to customers. These are not specifically tied to your tax refund, but they can bridge the gap between now and when your refund arrives. The interest rate varies by bank and your credit history, but it is worth comparing to the refund advance fee.

A credit union loan is another option if you are a member. Credit unions often have lower rates and more flexible terms than banks, and some will lend small amounts quickly. Call your credit union and ask about short-term personal loans.

Red flags and what to avoid

Avoid any lender that charges a fee higher than 10 percent of the advance amount. That is a sign the terms are not in your favor. Also avoid lenders that require you to open a new bank account or credit card to receive the advance—that is unnecessary and usually means they are trying to lock you into additional products.

Do not accept an advance from a lender that is not clearly affiliated with a tax preparation company, a bank, or a credit union. Standalone online lenders that specialize in refund advances sometimes have hidden fees or aggressive repayment terms. Stick with names you recognize.

Be wary of any advance offer that comes before you have filed your return. A lender cannot legally approve an advance without seeing your actual return. If someone is offering you money based only on an estimate of what you might receive, that is a scam.

Never give a lender access to your IRS account or your bank account beyond what is necessary to verify your refund and deposit the advance. If they ask for your IRS login credentials or your bank login, stop and find a different lender.

Frequently Asked Questions

Can I get a refund advance if I have bad credit?

Yes. Refund advances are not credit-based loans—they are secured by your tax refund. Lenders do not typically run a credit check because they are repaid directly from the IRS. Your credit score does not matter for a refund advance.

What if I file my taxes late—can I still get an advance?

Yes, but the timing matters. If you file in April or later, the IRS is processing returns more slowly, and the lender's wait time is longer. Some lenders may charge a higher fee or decline to offer an advance if you file very late in the season. Ask the lender directly about their cutoff date.

Do I have to use the same tax preparer who offered the advance?

No. If you file at H&R Block and decline their advance, you can file again online with a different service and accept an advance from a different lender. However, you can only file one return per year with the IRS, so you cannot file twice to get two advances. Once your return is filed, it is filed.

What if my refund is delayed—does the lender charge interest while I wait?

No. The lender charges a flat fee upfront, not interest. Once you receive the advance, you do not owe anything more, even if the IRS takes months to process your refund. The lender absorbs the wait time as part of their business model.

Can I get a refund advance if I owe back taxes or child support?

Probably not. If you owe back taxes, the IRS will offset your refund to pay what you owe before the lender is repaid. If you owe child support, the state can offset your refund the same way. Lenders know this and usually decline to advance money on returns that are likely to be offset. Be honest with the lender about any debts before you explore.