my new bank denied my refund due to the ACH only coming through with my husband's name and we filed jointly and hes not on my bank account. What happens next?

[wbf7682]

Turbo tax stated that I needed to call santa barbara bank but they do not have any of our information. States it will go back to turbo tax. I paid for the top $ of help and ive been getting transferred around. Now ive been waiting for over an hour for an " expert" to call me when it stated 5 mins

[maglib]

 A joint IRS tax refund can be deposited into a single spouse's individual bank account, as the IRS allows direct deposits into an account in either or both spouses' names. While the IRS permits this, bank policies vary, and some may reject the deposit if both names on the return are not on the account. If the deposit is rejected, Under Executive Order 14247, which phases out paper checks for federal payments after September 30, 2025, a rejected tax refund direct deposit triggers an IRS notice CP53E, requesting corrected bank information. If you do not respond with updated electronic details within 30 days, the IRS may delay your refund for six weeks or more before issuing a, likely electronic, alternative, though some paper checks remain for specific exemptions. The IRS will send you a notice paper check to the address on the tax return. 

Most banks do accept it if in the main SSN on the tax return. Some banks, especially when you are a new customer will reject it, some will never accept it. My bank even accepts my children's refunds as they know the relationship.

In the future you may want to ask your bank in advance or open a joint account.

@wbf7682

[Mike9241]

It's unlikely you'll get a paper check. due to an EO, the IRS is only supposed to do direct deposit since about 9/2025. You'll likely get a letter from it asking for banking info where the joint check can be deposited.

Starting with the 2025 tax year, the IRS requires most taxpayers to provide direct deposit information for refunds, making electronic payments the primary method for receiving federal tax refunds.
Overview of the Requirement
The IRS, under Executive Order 14247, has phased out paper refund checks for most taxpayers beginning September 30, 2025. This initiative aims to improve security, reduce fraud, lower costs, and speed up refund processing. Direct deposit is now the standard method for receiving tax refunds, and taxpayers who do not provide valid banking information may experience delays or receive additional IRS notices.

[maglib]

@Mike9241 when the bank account is not accepting the refund, a paper refund will still go out. The refund will further be delayed. You have 30 days to respond the CP53E and if you don't paper check refund goes out. There are still many whom do not have bank accounts nor joint accounts. I will edit response to include this. Thanks.