Tax Card – How to choose the best one
Tax Card – How to choose the best one – Choosing the best tax card can be quite a challenge as there are many prepaid cards available to tax payers.Getting the wrong one, can be a detrimental experience as it can inadvertently prolong your tax refund procedure.The first and most important aspect to look for is its efficiency in loading your IRS tax refund into your balance, so that you can have access to it as quick as possible.
Tax Card – How to choose the best one
ATM
Since your tax card is predominately a prepaid debit card,it would be a good idea to select your card that is affiliated to a broad network of ATMs.There are many card issuers that allow cross network ATM facilities free of charge.You would want to check balances or withdraw,these features might be free by ATMs owned by the card provider,or might charge a small fee for inquiries and withdrawals -in the range of $0.50 to $2.50 per transaction.Needless to say,you should get a card that charges the least amount for each withdrawal.The image below shows three common cards,and how they differ in various aspects.
Refund
Possibly the main distinguishing factor between a regular prepaid debit card and this is that tax cards are provided by companies that issue tax processing software.They are easily bundled along with the tax software whereas some charge a small activation fee to get started.This makes it extremely easy to transfer your IRS Federal or State Tax Refund directly onto your card.This makes the process extremely fast and trouble free.Look for a card that promises the fastest loading time.
Add funds
In addition to getting your tax refund loaded automatically ,it would be a great idea if your chosen card has a wide range of reloading options.The most commonly used transfer of funds would be through your bank checking account.Some banks charge a small fee to electronically transfer funds to your prepaid tax card,so check with your bank before you initiate an EFT.Most cards also have an added functionality of having your Payday check directly deposited onto the card.This way you can have access to your salary within a few hours.as well as save on check clearing fees.Some cards accept moneypak refills,which are extremely convenient as they are available OTC at many stores all over the country.
Fees
Since card issuers do not have any means of earning interest on the funds loaded on the card that are used by the consumer,they make up for it in other ways.This could be fees for almost anything and everything.Comparing tax prepaid debit cards for charges and penalties before making a choice can save you anything upto $50 a month.ATM charges include balance inquiry charges and ATM withdrawal charges range from $0.50 onward.A surprising charge that most card users will go through atleast once will be a lost /replacement card fee,some card issuers charge upto $50 for an express card delivery plus a small charge for your new card(approx $4.95)
The above four points are crucial .Remember that your tax card will serve you in two different avatars-As a prepaid debit card and as a tax refund card.Choose it wisely,use it wisely.