Confused about TurboTax refund showing up in Credit Karma - used the refund advance option

What you're seeing in your Credit Karma account is just the advance, not your actual tax refund. TurboTax partners with Credit Karma to offer these advances which are essentially loans against your expected refund. The IRS likely hasn't fully processed your return yet - that's why WMR shows accepted but not approved. When your actual refund is processed, one of two things will happen: 1. If you selected the advance option, TurboTax/Credit Karma will receive your refund first, keep what they advanced you, and deposit the difference to your account 2. If your refund is less than expected, you won't owe the difference on the advance (it's not your fault if the IRS adjusts your return) Typically takes 21 days for the IRS to process refunds, so you should see the remainder in the next couple weeks assuming no issues with your return.

Honestly if you really want to understand exactly what's happening with your refund and not just guess, check out taxr.ai - it reads your transcript and explains every single code and date in plain english. I was playing detective with my refund too until I found this tool. It showed me exactly why my refund was delayed (verification hold) and when to expect it. Saved me hours of googling and trying to figure this stuff out. It's insanely good! I use it every time I need to check my transcript now. https://taxr.ai

After hours of trying to reach the IRS about my refund delay (same TurboTax situation), I finally found a way to actually talk to a human! Used the Claimyr app (claimyr.com) and it got me through to an actual IRS agent within an hour. The agent explained exactly what was going on with my refund and resolved the issue on the spot. Talking to a live person got my refund released within days after being stuck for weeks! Definitely worth it when you're completely confused about what's happening.

Ok so here's how the TurboTax + Credit Karma thing works: 1. You got the advance which is a PORTION of your refund (usually like $500-$1500) 2. Your actual refund hasn't been processed by IRS yet 3. When IRS finishes, they'll send money to TurboTax 4. TurboTax keeps what they already gave you and gives you the rest Thing is, what ur seeing in Credit Karma is NOT your full refund. It's just the advance. That "accepted but not approved" status means IRS has your return but hasnt finished with it yet.

Had the same issue last year. The advance is just a partial payment. You'll get the rest when your actual refund processes. Took me about 2.5 weeks after filing to get the rest deposited.

TurboTax is scummy with how they explain this. What happened is this: - You filed your taxes and TT said you'd get $X back - They offered you a "refund advance" which is a LOAN against your future refund - That advance went to your Credit Karma acct - Your ACTUAL refund is still processing with the IRS - When it comes, it will go to TurboTax first, they'll keep what they already gave you, and give you the rest They make it confusing on purpose so people think they're getting their refund faster 🙄

Be patient, this year the IRS is running slow af. I filed Jan 29th and just got my refund yesterday. But yeah the Credit Karma thing is just the advance. Your full refund is still cooking in the IRS oven.

Does anyone know if having the advance affects how fast the IRS processes your return? Like do they prioritize those or put them in a different queue or anything?

Not to pile on but the turbotax + credit karma refund advance isnt free - you're paying for it with fees. Usually its not worth it unless ur super desperate for cash immediately. For future reference, IRS direct deposit to your regular bank account is faster and free.

check if your transcript is updated on the irs website. it'll tell you the actual status of your refund processsing. i had a similar situation and my transcript showed that they had to verify something which was causing the delay.

im so done with turbotax and their shady practices. every year they make things more confusing and expensive. they used to be good but now theyre just trying to squeeze every penny out of us. next year im using freetaxusa.

Hey OP - I had exactly your situation happen to me last month! I thought I was getting my full refund but it was actually just the partial advance. The rest hit my account about 3 weeks later. Check your TurboTax confirmation email - it should tell you the full refund amount vs the advance amount.

I noticed you said you got the refund "advance"? That's exactly what it is - an advance on your refund, not the actual refund itself. The WMR showing accepted but not approved means the IRS has your return but hasn't finished processing it yet. This is normal! The advance is just TurboTax fronting you some money based on what they think your refund will be. When your actual refund is processed, it'll go to them first, they'll take back what they advanced you, and send you the rest.

I went through the EXACT same thing except mine is stuck on processing for 2 months now! I got the advance from turbotax but the rest of my money is nowhere to be seen. I tried calling IRS a million times and cant get through to anyone. So frustrating.

Pro tip: If this advance situation is confusing you, there's a better way to handle your taxes next year. Instead of paying extra fees for a "refund advance" (which is basically just an expensive loan), file electronically and choose direct deposit to your own bank account. You'll get your whole refund faster and without all the fees and confusion.

The irs is a joke this year. Im still waiting for my 2023 refund and now im suppose to file 2024!?! make it make sense

Same boat last year. Don't worry, it'll work out, but TurboTax does a terrible job explaining how it works. Ive stopped using them because of all the hidden fees and confusing options.

I remember being confused by this too! Here's what happened to me: 1. Filed with TurboTax in early March 2. Got a $600 advance through Credit Karma a few days later 3. My actual refund was $2800 4. About 3 weeks after filing, the remaining $2200 showed up in my Credit Karma account The advance is just a partial payment of what they expect your refund to be. You'll get the rest when the IRS finishes processing.

I had so many problems with the credit karma+turbotax combo that I actually ended up havig to call the IRS. After 2 hours of waiting I gave up and used claimyr.com - within an hour I had an agent on the phone who sorted everything out. The issue was that my refund had been sent but credit karma had the wrong routing info. Once I talked to the agent they fixed it and reissued my refund. Best money I ever spent to avoid wasting an entire day on hold!

Just wanted to add my experience since I went through this exact same thing! The advance you got is basically TurboTax giving you a loan against your expected refund. It's not free money - there are fees involved that get deducted from your final refund amount. The "accepted but not approved" status on WMR is totally normal at this point in the season. The IRS is super backed up right now. Your actual refund is still working its way through their system. Once it gets approved, TurboTax will receive the full amount, subtract what they already advanced you (plus any fees), and deposit the remainder to your Credit Karma account. I'd estimate you'll see the rest in about 1-2 weeks based on current processing times. Just keep checking WMR for updates!

I went through this exact same confusion last year! What you received in your Credit Karma account is just the refund advance - basically a partial payment while your actual tax return is still being processed by the IRS. The "accepted but not approved" status on Where's My Refund is completely normal and just means they have your return but haven't finished reviewing it yet. Here's what will happen next: Once the IRS approves your return (usually takes about 21 days total from filing), they'll send your full refund amount to TurboTax. TurboTax will then keep the advance amount they already gave you, subtract any fees, and deposit the remaining balance to your Credit Karma account. So if your total refund is supposed to be $2000 and you got a $500 advance, you should expect to see around $1500 more once everything processes (minus any TurboTax fees). Just keep checking the WMR tool - once it shows "approved" with a deposit date, that's when you'll get the rest!