Bank Products & Tax Software

[GTS1101]

I have offered bank products for many years to my customers. As the years have gone by less and less clients have opted to use them. Only about 3% of my clients from last year choose to use bank products to get their refund faster. Also I have always been a direct filer with the IRS and CA using Taxwise software. With a down economy and people losing their jobs I would assume is it a no brainer to offer bank products again this year. The only reason I don't want to offer bank products is I don't want to become an indirect filer through Taxwise. I like filing direct with the IRS and CA. Also the cost of the software to file indirect is about $500 more. For those of you who have experience as an indirect filer through your software does it work the same as direct or does it take longer to get your acks back from the software vendor. I am not happy with the price increase for indirect with Taxwise. Anything similar to taxwise that offers indirect filing with bank products at a more reasonable price but still good software. I have been using Taxwise for over 10 years and I love it but the cost is getting to be to high. I don't like Drake because I want control of the forms. Anybody can suggest another software that they are successful with and enjoy using. Also I thought I heard the IRS might do away with bank products. Anybody else heard about that for future filing years?

Thanks for your input and advice!

GTS1101

[taxea]

I refuse to offer bank products because of the high cost to the client. A direct deposit gets them the money within 15 days. Bank products are a rip-off in my opinion. taxea

[geekgirldany]

GTS I had thought about doing the same thing. I file indirect with Taxwise and never had a problem. I am not sure about the difference between direct and indirect. I offered bank products one year and had a bad experience with Bank of Santa Barbara... I believe that was its name. I printed out a check for the RAL and the customer's bank would have to hold it for 10-15 days for it to clear. Their bank and every other bank in my county told them if the check had come from H&R or Hewitt they would have cashed it. Thing is they use the same bank. Direct deposit RALs went okay.

I am going to call this week about it. I stopped offering RALs but I had thought if they want it let them have it.

[FEDUKE404]

No bank products here

I refuse to offer bank products because of the high cost to the client. A direct deposit gets them the money within 15 days. Bank products are a rip-off in my opinion. taxea

I tend to agree. The vast majority of my clients are of above-average "tax intelligence" and they/I realize with e-filing and direct deposits tossing any money away on a quick refund is generally not wise.

Also I do my very best to counsel my clients so they will not be in a position of getting a large refund in the first place, via prudent withholding and management of estimated tax payments.

Of course, I have also spent some time working in store-front places and many of those folks would willingly pay 90% of their refund just to have their money "today."

It's a crazy world..........

FE

[Black Bart]

Maybe try ATX (800-495-4626)

For those of you who have experience as an indirect filer through your software does it work the same as direct or does it take longer to get your acks back from the software vendor.

We go indirect with them and acks are generally there the next day (sometimes same day if filed early enough to catch a drain). Compared to direct? I don't know -- it's been years since we filed direct.

I am not happy with the price increase for indirect with Taxwise. Anything similar to taxwise that offers indirect filing with bank products at a more reasonable price but still good software. I have been using Taxwise for over 10 years and I love it but the cost is getting to be to high. I don't like Drake because I want control of the forms. Anybody can suggest another software that they are successful with and enjoy using.

I like ATX (4 year user). We buy1040 Office Package ($704), a 1040 only forms-based program with all states and free efile up to 100 returns, then $5 each. Tech support (IMO) is nothing to email home about and while that may just be me (some people think it's great), all I got today was a busy signal (couldn't even get on hold which is usually half an hour-- start of season rush I suppose). Still, we've learned what to do on many things and I'm staying with them short of a nuclear meltdown.

Also I thought I heard the IRS might do away with bank products. Anybody else heard about that for future filing years?

They were talking about it last February, but I don't think anything's been done yet. Their strategy was -- here's a Revenue Bulleting quote -- "...IRS (is) considering...rules...regarding the disclosure and use of tax return information by tax return preparers...(that)...would apply to the marketing of (RALs)...and, as an exception to the general principle that taxpayers should have control over their tax information...provide that a tax return preparer may not obtain a taxpayer's consent to disclose or use tax return information for the purpose of soliciting taxpayers to purchase such products." Sort of a back door approach and no mo' fast dough.

[Bonnie]

Refund Advantage

Check out Refund Advantage at www.refund-advantage.com. You can file any way you want and still use their product. You can file direct with the IRS and use them. Also for those who don't like the high fees charged by most banks, they let you set your fee for bank products. You can lower the price and keep it more reasonable for those who really want this service. You can do bank products for just the state return or even paper returns. It's amazing. They have so many great features. Check it out at their web site. I started with Chase last year and switched to Refund Advantage mid way through the season. I am using them his year. Don't do many bank products but for the ones I do nothing can compare to their service. I love the feature on their site for their customers that is a market summary of all Efilers in my area and I can see what other offices are doing in comparison to mine.

[Bonnie]

Tax Slayer

As for software more reasonable, try Tax Slayer Pro. I have used them since I started my own business and love the software and also the support. I have read comments the past couple of years from others about bad support and I always just think how glad I am that I have Tax Slayer. Price is great too. I believe it is about $850 now. I renewed early for $795. That includes personal returns and business package, all states, free efiling if you want or you can file direct too but I like filing through them since it doesn't cost any extra. Support is always quick to answer and very helpful. Take a look. www.taxslayerpro.com

[powerage]

Most returns I will do this year will involve a bank product. The customers in my area know what they want before they even walk in the door. I know my market, because I used to be part of the market.

I just hope they at least open their mail this year, especially the envelopes marked 'important tax information'. I have opened a couple hundred envelopes that I needed and this information almost always affected the clients tax. But that is a different story.

[geekgirldany]

Check out Refund Advantage at www.refund-advantage.com. .

Bonnie how did you like their customer service? Did you issue checks or cash cards? What made you change to them from chase?

[GTS1101]

Thank you!!!

Hi All!

Thank you so much for the great information. I appreciate all your comments and input. It is greatly appreciated. I appreciate also all the diverse ideas about the RAL products. I am going to stay with Taxwise for this year but I may consider Taxslayer Pro next year.

Thank You!!
GTS1101

[veritas]

It's time to bring back an old favorite

Most returns I will do this year will involve a bank product. The customers in my area know what they want before they even walk in the door. I know my market, because I used to be part of the market.

I just hope they at least open their mail this year, especially the envelopes marked 'important tax information'. I have opened a couple hundred envelopes that I needed and this information almost always affected the clients tax. But that is a different story.

It's like during Chrismas , I have to watch the movie "Christmas Story". You'll shoot your eye out kid.

And since we are entering our favorite season enjoy:

http://www.thetaxbook.com/forums/showthread.php?t=7197&highlight=open+envelopes

[John Valko]

Taxworks is GREAT

I have been using Taxworks for about 10 years. Prior to that I used a software product called Tax Relief for about 17 years. They got merged with another company as many have and I was not comfortable with the design of the product. I came across Taxworks kind of by accident but I'm glad I did. Its a great program, simple to navigate and very complete. Its a bit expensive but I think its well worth the price which was $1,725.00 this year but that was including a $1,500 discount for renewal and early purchase. The program includes a complete Combination 1040, 1041, 1065, 1120, 1120S Package & All States. It also includes FREE electronic filing. Even when you look at if you were to pay full price for the program at $3,295, it would pay for itself in about 20 tax returns. I think it's a small price to pay for good software.

I also offer the RAL's, Cash Cards, RT's and all the other Bank Products that the big franchises do. I use Santa Barbara Bank & Trust and have had no problems. I do have a problem with the fees the banks charge for the bank products but the way I look at it is, it doesn't cost anything to have it available for clients that want it and if I didn't offer it I would lose the clients that want it because they will go where they can get it. I don't push it on anyone but I don't discourage them either. One thing that I do like about the bank programs is that the preparer fees are taken out of the their refund so I don't have to worry about bounced checks or the client that wants to pay me when they get their refund. My Preparer fees go directly into my bank account.

Anyway if you want to check out Taxworks you can view it at www.taxworks.com.

[geekgirldany]

John.. do you print out checks using Santa Barbara Bank? I had problems with the banks around here wanting to cash them a few years ago.

[equinecpa]

I got a notecard in the mail today...from Office of Consumer Credit Commissioner. Apparently in Texas you have to register if you're going to offer RAL's. ( I don't usually do any but thought of using refund advantage for getting my fee paid).

I went to apply, but at the very end saw there was a fee - $50.00. I opted not to apply since I haven't done any RAL"S in the past, and may very well not process any this year.

I thought I'd post this info because there very well may be similar fees in other states.

[John Valko]

Yes, I print the clients checks. The laser check stock is furnished at no charge by the bank. It is very easy.