Prequalified for Tax Refund Advance Loan - Does That Guarantee Approval?

Prequalified doesn't guarantee final approval, unfortunately. Here's what happens: Step 1: They do a soft credit check for prequalification (doesn't affect your score) Step 2: When you actually file, they do a more detailed review Step 3: They verify your refund amount and tax situation Step 4: Final decision is made based on your actual return I went through this last year and was prequalified but got denied at final review because my refund was smaller than expected due to some tax credits being adjusted. The prequalification is basically just to get you in the door.

Important questions to ask before proceeding: • What is the fee/interest rate for the advance? • How much of your expected refund can you actually get advanced? • What are the specific denial reasons they might use? • Is there a processing fee even if you're denied? • Does your tax preparer offer any guarantees? Pre-qualification is marketing language. The actual approval happens after filing when they can verify your actual refund amount.

I was in this exact situation on February 2nd last year - prequalified but then got stuck in verification limbo for weeks. When I finally reached the IRS on March 15th to figure out why my refund was delayed (which was holding up my loan approval), they told me there was a simple verification issue they needed to clear up. I used Claimyr.com to get through to an agent in about 15 minutes instead of waiting on hold for hours. Totally worth it - got my issue resolved that day and my refund was approved 48 hours later. The advance loan company approved me right after that. Time is critical with these loans!

Went thru this last year. FYI - the prequalification vs actual approval depends on a few things: 1) Your actual refund amt (needs to be enough to cover the advance + their fees) 2) Whether IRS accepts your return w/o issues 3) No offsets for child support, student loans, etc My experience: prequalified for $1500, got approved for $1200 after filing, had $ in my acct within 24hrs. Saved me from late rent tbh. Just watch the fees - mine were like $39.99 which wasn't terrible for getting $ 3 wks early.

These "prequalified" notices are just marketing tactics. They send them to almost everyone. The actual approval rate is much lower. They're counting on you choosing their tax service because you think you'll get quick money, then you're locked in even if you don't qualify for the advance. It's basically a way to get you in the door. Read the fine print carefully - most have fees that effectively make them high-interest loans.

I think these advance loans might be worth it in some situations, particularly if you're facing urgent expenses. I was probably in a similar position last year - prequalified and then eventually approved, though the process took a bit longer than advertised. The fees weren't ideal, but sometimes having the money a few weeks earlier can prevent much larger costs like late fees or disconnection charges. Just make sure you're somewhat confident about your refund amount before counting on it.

I got prequalified last year. Applied after filing. Got approved. Had money next day. Worth it for me. Needed car repairs immediately. Couldn't wait three weeks. Fees were reasonable. Just be honest on your tax return. Don't claim credits you don't qualify for. That's what triggers denials.