IRS Reminds Taxpayers that Direct Deposit is the Fastest Way to Receive a Refund

January 14, 2020 / Source: NACHA

IRS Reminds Taxpayers that Direct Deposit is the Fastest Way to Receive a Refund

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January 14, 2020

Want your tax refund fast? Use Direct Deposit. And while you’d normally think that’s what we’d say, this time it’s not. That’s coming from the Internal Revenue Service, which called Direct Deposit the “simple, safe and secure” way to get your tax refund.

In a recent web post, the IRS reminded taxpayers that with tax season upon us “choosing to have (your) tax refund directly deposited … is the fastest way to get (your) refund.”

That’s good news for the 96 million Americans who are expecting a refund this year – many of whom are already using Direct Deposit. In fact, according to the IRS, “eight out of 10 taxpayers get their refunds” via Direct Deposit.

“Direct Deposit is fast and dependable,” said Michael Herd, Nacha Senior Vice President, ACH Network Administration. “Your money is in your account and you don’t have to wait for a check to clear to access your money.”

As the IRS notes, Direct Deposit prevents a refund check from being lost, stolen or returned as undeliverable.

Split to Save

Additionally, with Direct Deposit you can split your tax refund into as many as three different accounts – including an Individual Retirement Account (IRA), which can help you build a nest egg. Over time, even a small amount saved adds up.

It’s something Nacha believes in and why we support the upcoming America Saves Week. Because Split to Save puts savings on autopilot.

America Saves Week is Feb. 24-29, 2020. Each day has a theme and Monday’s is Save Automatically. Learn more in a recent post.