Jackson Hewitt's refund advance is a short-term loan against your expected tax refund, not a refund itself

A Jackson Hewitt refund advance—sometimes called a Refund Advance Loan or RAL—is money the tax preparation company lends you before the IRS sends your actual refund. You get the cash within one to two business days of approval, usually by debit card or check. The loan amount is typically smaller than your expected refund, and Jackson Hewitt repays itself from your refund when it arrives at the IRS.

This is not assistance programs. Jackson Hewitt charges a fee for the loan, which ranges depending on the loan amount and your state. The fee is deducted from your refund or charged upfront, depending on the product you choose. The loan itself carries no interest—you pay only the flat fee—but the fee can be substantial relative to how much you borrow.

The advance is designed for people who need cash before the IRS processes their return. Standard IRS refunds take 21 days or longer, depending on how you file and whether the return needs review. A refund advance compresses that to days, but at a cost.

Key Takeaways

  • Jackson Hewitt's refund advance is a loan you repay from your tax refund, not a refund itself, and it comes with a flat fee that varies by state and loan size.
  • You receive the advance money within one to two business days if you meet Jackson Hewitt's approval requirements, usually by debit card or check.
  • The fee is deducted from your refund when it arrives at the IRS, so your final refund check will be smaller than you expected.
  • Jackson Hewitt must verify your identity and confirm your refund amount before approving the advance, which requires your Social Security number and filing status.
  • If the IRS rejects your return or reduces your refund, you may still owe Jackson Hewitt the full loan amount plus the fee.

How the approval and funding process works

When you request a refund advance at Jackson Hewitt, the company verifies your identity using your Social Security number, date of birth, and filing status. They also run a check with the IRS to confirm you have not already filed the same return elsewhere and to estimate your refund amount. This verification typically takes a few minutes to a few hours.

Once approved, Jackson Hewitt funds the loan within one to two business days. You can receive the money by direct deposit to a bank account, by debit card issued on the spot, or by check. Direct deposit is the fastest option if your bank processes it immediately. If you choose a debit card, you can usually withdraw cash or use it at merchants the same day.

Jackson Hewitt then files your tax return with the IRS on your behalf. When the IRS processes your return and sends your refund, it goes to Jackson Hewitt's account first. The company deducts the loan amount and the fee, then sends you the remainder. This process typically takes 21 to 30 days from the time the IRS receives your return, though it can be faster or slower depending on whether the IRS needs to review your return.

Fee structure and what you actually pay

Jackson Hewitt charges a flat fee for the refund advance, not a percentage of the loan. The fee varies by state and by the amount you borrow. As of recent years, fees have ranged from around $15 to $89 depending on these factors, though Jackson Hewitt updates its pricing periodically. You should ask for the exact fee before you accept the loan, because it is a real cost that reduces your final refund.

The fee is typically deducted from your refund when it arrives at the IRS. For example, if your refund is $2,000 and you borrow $1,500 with a $50 fee, Jackson Hewitt takes $1,500 plus $50 from the IRS payment, leaving you with $450. Some Jackson Hewitt products charge the fee upfront instead, which means you receive less cash on the day of the advance.

Jackson Hewitt may also charge additional fees for tax preparation, filing, or other services bundled with the advance. These are separate from the refund advance fee itself. Ask for an itemized list of all charges before you sign any agreement.

What happens if your refund is smaller than expected

If the IRS reduces your refund or rejects your return entirely, you still owe Jackson Hewitt the full loan amount plus the fee. This is the biggest risk of a refund advance. For example, if you borrow $1,500 and the IRS later determines you owe $500 in back taxes or penalties, your refund shrinks by $500. Jackson Hewitt still expects to be repaid the $1,500 loan and the fee from what remains.

If your refund is too small to cover the loan and fee, Jackson Hewitt will contact you to collect the shortfall. You may be asked to pay by check, debit card, or bank transfer. Some Jackson Hewitt locations offer payment plans, but you should confirm this before you sign the advance agreement.

The IRS can also delay or hold your refund if it detects errors, fraud, or if you owe back taxes or child support. During this time, your refund advance loan is still due. Jackson Hewitt does not typically wait for the IRS to finish its review before asking for repayment.

Comparing a refund advance to other ways to get money faster

A refund advance is one option, but not the only one. If you file your return electronically and request direct deposit, the IRS will send your refund in 21 days or fewer in most cases. This costs nothing and requires no loan. If you can wait three weeks, this is the cheapest option.

Some banks and credit unions offer tax refund anticipation products that work similarly to Jackson Hewitt's advance but may have lower fees or different terms. You can ask your bank whether it offers this service. Credit unions in particular sometimes offer lower-cost alternatives.

A personal loan or credit card cash advance from a bank or credit union is another option if you need money urgently. These typically have higher interest rates than a refund advance fee, but they do not depend on your refund arriving. A payday loan is faster but usually much more expensive.

How to avoid problems with a refund advance

Before you accept a refund advance, make sure your tax return is accurate and complete. Errors on your return can trigger an IRS audit or adjustment, which may reduce your refund and leave you owing Jackson Hewitt money. Double-check your income, deductions, and credits with a tax professional if you are unsure.

Ask Jackson Hewitt for the exact fee in writing before you sign anything. Do not assume the fee is the same as last year or the same as another person's fee. State laws and company pricing change, and fees vary by loan size.

Keep a copy of your loan agreement and the fee disclosure. If Jackson Hewitt later charges you more than the stated fee or tries to collect money you do not owe, you will need this documentation to dispute it.

If you are filing a return that is likely to be audited—for example, if you are claiming a large home office deduction or significant business losses—consider waiting for your refund instead of taking an advance. An audit can delay your refund by months and may reduce it, leaving you responsible for the loan amount Jackson Hewitt advanced.

State rules and limits on refund advances

Some states have capped or banned refund advances entirely. New York, for example, has restricted refund advance loans. Other states allow them but regulate the maximum fee or require specific disclosures. Before you take a refund advance, check whether your state has rules that affect the terms Jackson Hewitt can offer.

You can find your state's rules by contacting your state's attorney general office or consumer protection agency. Many state websites publish guidance on refund advances and tax preparation fees. Jackson Hewitt should also disclose any state-specific restrictions when you ask about the advance.

Frequently Asked Questions

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

Jackson Hewitt may still lend you money, but the IRS can intercept your refund to pay back taxes, child support, or other federal debts before Jackson Hewitt is repaid. If this happens, you still owe Jackson Hewitt the full loan amount plus the fee. You should disclose any known debts to Jackson Hewitt before you accept the advance so you understand the risk.

How long does it take to get the refund advance money?

Jackson Hewitt typically funds the advance within one to two business days of approval. If you choose direct deposit, the money may appear in your bank account the same day or the next business day, depending on your bank. A debit card can usually be used immediately. Checks take longer and depend on when you deposit them.

What if I do not want the refund advance anymore after I request it?

You can usually cancel a refund advance within a short window—often 24 to 48 hours—without penalty. After that, you are responsible for the loan and fee. Check your loan agreement for the cancellation deadline and process. If you cancel, Jackson Hewitt will still prepare and file your tax return, though you may owe a separate tax preparation fee.

Do I have to use Jackson Hewitt to file my taxes if I take a refund advance?

Yes. A refund advance is only available if Jackson Hewitt prepares and files your return. You cannot take an advance and then file your return elsewhere. If you file your return with a different preparer or the IRS, Jackson Hewitt's advance agreement becomes void and you may owe fees.

What if the IRS takes longer than 21 days to process my return?

If the IRS delays processing your return—for example, because it needs to verify information or investigate a discrepancy—your refund will arrive later than expected. Jackson Hewitt's loan is still due on the original timeline. You will need to repay the advance from your own funds if the refund does not arrive in time, or work out a payment plan with Jackson Hewitt.