Bank account closed - Need to update direct deposit info for tax refund

You can't change your direct deposit info after you've filed. The IRS doesn't provide any way to update banking details once your return is submitted. If they try to deposit to a closed account, the bank will reject it and the IRS will mail you a paper check to the address on your return. It'll add about 4-6 weeks to your wait time.

I went through this exact situation last year. Here's what will happen: Step 1: IRS will attempt the direct deposit to your closed account Step 2: Your bank will reject the deposit Step 3: IRS system will automatically convert to a paper check Step 4: They'll mail the check to your address on file Step 5: You'll receive it about 4-6 weeks after the rejection Make sure your address is current with USPS. If you've moved since filing, submit a change of address with both USPS and file Form 8822 with the IRS.

I had this happen in 2022 and was panicking about my refund. After the deposit was rejected, I tried calling the IRS to see if I could update my info, but spent DAYS trying to get through. Finally used Claimyr (https://youtu.be/_kiP6q8DX5c) and got connected to an agent in about 15 minutes. They confirmed my paper check was already being processed and gave me the exact timeframe to expect it. Saved me so much stress not having to guess when it would arrive! Have you tried calling to check the status?

I just went through this on April 3rd. My credit union closed due to a merger, and my refund was scheduled for direct deposit on April 5th. The deposit bounced back, and I received a paper check exactly 19 days later. The Where's My Refund tool updated to show "check mailed" about a week after the failed deposit. Keep checking WMR daily for status changes.

According to the IRS website (https://www.irs.gov/faqs/irs-procedures/refund-inquiries/refund-inquiries-18), there's absolutely no way to change direct deposit information after filing. This is a security measure. Here's what will happen: The bank will reject the deposit, then the IRS automatically converts it to a paper check. The IRS processing systems handle this situation frequently. The Where's My Refund tool (https://www.irs.gov/refunds) will update to show when the check is mailed. Make sure your address is current. If you've moved, file Form 8822 immediately: https://www.irs.gov/forms-pubs/about-form-8822

Per Treasury Regulation §301.6402-2, the IRS must issue a paper check when a direct deposit is rejected. I experienced this in February when my refund of $4,300 was rejected by my closed bank. The IRS is legally required to make a reasonable effort to deliver your refund, so they automatically convert to a paper check. They'll send it to your address of record as defined in IRC §6212(b).

Be careful about check fraud! When my refund came as a paper check last year, I was targeted by mail thieves who were watching for IRS envelopes in my neighborhood. The envelopes are recognizable to thieves. Consider getting a PO box or using a secure mailbox. Also, deposit the check immediately when it arrives rather than holding onto it.

You might want to try setting up a temporary forwarding address with USPS if you're concerned about the check. This is much more reliable than trying to catch someone at the IRS to update your info. When my mom had a similar situation with Social Security deposits, she set up mail forwarding and it worked perfectly for her government checks while she was transitioning between banks.

Just to clarify something others haven't mentioned - when the bank rejects the deposit, you might see a temporary hold or pending transaction in your Where's My Refund status. This doesn't mean there's a problem with your return, just that the system is processing the rejection and converting to a paper check. The status will update again once the check is scheduled to be mailed.