Refund Anticipation Loans (RAL) FAQ

What is a Refund Anticipation Loan?

A Refund Anticipation Loan (RAL) is a recourse loan between you and a bank based on the amount of your anticipated IRS refund.

Which bank do you use for RAL's?

We use Santa Barbara Bank and Trust for RAL's as well as ERC's.

Can I pay for my return preparation using RAL proceeds?

Yes. Although there is a processing fee and a finance charge for a RAL, you can choose to pay these fees along with your return preparation fee using RAL proceeds. Thus, there are no out-of-pocket costs to you.

How soon can I get my RAL?

Generally, a week or less. First, we prepare and electronic file your return. The IRS must then accept your return which takes about 24 to 48 hours. Then the bank issues a check and we deliver it to you via FEDEX.

How much does a RAL cost?

There is a $35 processing fee for a RAL plus a finance charge imposed by the bank. The finance charge is as follows:

Amount of RAL Finance Charge

$100 - $500 $29.00

$501 - $1,000 $39.00

$1,001 - $1,500 $49.00

$1,501 - $2,000 $69.00

$2,001 - $5,000 $82.00