Stop! Before You Pay for Bills with a Tax Refund, Take these Tips into Consideration

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While it is tempting to pay your last minute bills with that tax return, here are some items to keep in mind before doing so.

  1. Refund Anticipation Loans (RALs) give you cash immediately, however, you have to pay that money come tax season, plus interest.
  2. These RALs are also packed with fees. These add-on fees can completely take over your tax refund money.
  3. Even if you take out an RAL, you have to pay it all back in the end. With this comes a certain amount of uncertainty where you must hope that you end up with enough tax money to pay back your loan.

Image via CBN.