Old Debt being taken off tax refund - WATCH OUT

[down&out]

[pink_amulet]

Is this new for this year??

If your bank was one of the ones listed, why didn't they collect from you before??

just wondering....

Pink

[down&out]

Is this new for this year??

If your bank was one of the ones listed, why didn't they collect from you before??

just wondering....

Pink

I haven't ever tried to e-file before. Also - in my last three tax returns my refunds went to defaulted student loans. So even if I had HSBS wouldn't have been able to get to it.

[ODDBALL]

I filed my income taxes using H&R Block Taxcut, with no problems. I think the fees come into play if you 'opt' to have the payment deducted from your refund. I paid online through debit, and had no problems. I too also discharged some old debts with HSBC. My refund was electronically deposited into my account with no problem. When I read the fine print regarding having the payment deducted from my refund, I declined due to the associated fees. Anyway, this is just my $0.02.

[down&out]

I filed my income taxes using H&R Block Taxcut, with no problems. I think the fees come into play if you 'opt' to have the payment deducted from your refund. I paid online through debit, and had no problems. I too also discharged some old debts with HSBC. My refund was electronically deposited into my account with no problem. When I read the fine print regarding having the payment deducted from my refund, I declined due to the associated fees. Anyway, this is just my $0.02.

Correct. TAXCUT offers two ways to e-file. One way you enter a credit card to apy for it, the other uses HSBC as the filing entity - the second way is what I am refering too in my post.

[pink_amulet]

I just pulled out our Jackson Hewitt papers from this years taxes, they we just had done and it says the same thing, except they say SBBT bank, which is the Santa Barbara Bank and Trust.

It also states that:

" You also understand that, by submitting an Application, you are submitting to a collection process that may result in you repaying debt, even if the entity to whom you owe such debt is prevented by law from bringing a lawsuit against you to collect a debt."

So a discharged debt is a debt "prevented by law" which would be considered debt to be sued over?? I have been using Jackson Hewitt since 1998, and I have ALWAYS had bills, and never had issues with them trying to repay debts with my refund.

What does HSBC stand for??

Pink

[pink_amulet]

I wanted to add....I just looked at our tax papers (2004) and that clause is not on there. I wonder if because of the new BK laws it changed something ... interesting!

We still got our 2005 refund last week, and the IL state check came in the mail last Friday.

Pink

[thelitman]

You guys aren't reading it correctly. My brother works for the IRS, and says a lot of people get confused with the HR Block, and Jackson Hewitt. If you have declared BK, and you have debt with HSBC for HR BLOCK, or SBBT for Jackson Hewitt or one of their affilietes then no matter what you have discharged, you signed and agreed to pay it back from your tax return, however; this only happens if you ellect to get your tax return the same day you file (basiclly a loan) if you get your money deposited to your checking/savings, or if you get a paper check mailed to you or just as long as you dont get the check the same day then those banks didn't loan you the money which means they wont pay back debts with the money. Only time they can do that is if they give you the tax refund loan, which gets paid back with your tax refund being sent directly to them, otherwise you have nothing to worry about. They try to confuse the hell out of everyone

[FilingOnMyOwn]

What does HSBC stand for??

Pink

HSBC is Household Bank, issuer of the Orchard Bank card, many store cards and smaller credit cards, through dozens of subsidiaries.

[StaciMM]

The 'prevented by law' might refer to debts that are beyond the SOL. Not sure if they would apply that to a discharged debt. Better to be careful though-just efile & direct deposit to your bank account.

[Zapata]

HSBC is Household Bank, issuer of the Orchard Bank card, many store cards and smaller credit cards, through dozens of subsidiaries.

Yep... Household does about 50% of all consumer financing in the USA. So I have heard.