March 5th DDD - TurboTax Refund with Fees Deducted - When Will Deposits Actually Hit?

Oh my goodness, I'm in EXACTLY the same situation! 😩 I've been checking my bank account every 20 minutes like a crazy person! When you choose to have fees taken out, it creates a whole extra step because TurboTax's bank (SBTPG) has to receive your refund first, take their cut, THEN send the rest to your bank. In my experience, this usually adds 1-2 days to the process compared to direct deposit straight from the IRS. I'm expecting mine tomorrow or Thursday at the latest based on previous years, but the waiting is KILLING me!

It appears that, based on my research and personal experience, the timeline might be somewhat variable depending on several factors. Your bank's processing time could potentially add an additional 24-48 hours in some cases. TurboTax typically, though not always, processes these transactions within one business day after receiving funds from the IRS. It's possibly worth noting that some financial institutions might show pending deposits before they're fully available, which could perhaps give you an early indication that the funds are en route to your account.

I was refreshing my bank app CONSTANTLY with the same situation last week! According to the IRS refund schedule on the IRS2Go app, my DDD was 2/28 and I got it on 3/1 - exactly the timeline everyone described with the TT fee deduction. I finally tried https://taxr.ai to understand all the transcript codes and processing dates. It explained exactly how the SBTPG bank works as the middleman and even showed me how to check if they received my refund yet! Saved me so much stress of wondering where my money was stuck in the process.

When you have fees deducted from your refund, there's an additional processing step through Santa Barbara Tax Products Group (SBTPG). This is the financial institution that TurboTax partners with to facilitate refund transfers. The IRS sends your refund to SBTPG, who then deducts the TurboTax fees and transfers the remainder to your bank account. This typically adds 1-2 business days to the process. I've seen many clients experience this same situation, and I understand how stressful the waiting period can be, especially when you're counting on those funds.

I went through this exact situation last year with my TurboTax refund. My DDD was on a Tuesday, and I didn't see the money until Thursday morning. What really helped was when I couldn't get through to anyone at the IRS to confirm everything was on track, I used Claimyr (https://claimyr.com) and got connected to an agent in about 15 minutes. They confirmed my refund had been sent to SBTPG already, which gave me peace of mind. I'm curious - did you get any email from TurboTax or SBTPG about your refund being processed? I got one about 24 hours before the deposit hit.

I've seen this pattern repeat every tax season for the past five years. When you choose to have fees taken from your refund, you're essentially authorizing a Refund Transfer product. In my experience working with hundreds of tax clients, SBTPG typically processes these within 24-48 hours after receiving the funds from the IRS. Last year, most of my clients with March 5th DDDs who used TurboTax with fees deducted received their funds on March 6th or 7th. Banks like Chime or Capital One sometimes make funds available earlier than traditional banks, which explains why some people report getting their money up to 5 days early.

Let me tell you, I'm in the same boat and it's not even equipped with paddles! 🚣‍♂️ I've got a March 5th DDD too, fees coming out of refund, and I'm refreshing my bank app like it's Twitter during a celebrity scandal. Last year I swore I wouldn't do the fees-from-refund option again because of this exact delay, but here I am, making the same mistake. The extra 1-2 day wait doesn't sound like much until you're in it! Next year I'm just paying the TT fees upfront even if it hurts at the time. The direct deposit is like a pizza delivery that keeps getting stuck at the neighbor's house before making it to yours.

I have the same DDD and used TurboTax with fees taken out too. Does anyone know if we can check the status with SBTPG directly? Is there a website or phone number? And does the "Where's My Refund" tool update once SBTPG receives it, or does it only show when the IRS sends it out? I'm worried something might go wrong in this middle step and I wouldn't know about it.

Got my refund yesterday w/ 3/5 DDD. TT fees taken out. Took exactly 1 day after IRS date. Pro tip: check SBTPG website directly at https://taxpayer.sbtpg.com/ - shows when they get it from IRS + when they send to ur bank. Saved me $$ on fees last yr when I realized how much TT charges for this "service" lol. Next yr def paying fees upfront - saves like $40 vs having them taken from refund.