Refund was mailed instead of direct deposit

[stevealborn]

I requested and paid for the state direct deposit of my refund.  I received it instead by mail.  How do I get my $25 back that I paid for direct deposit?

[DawnC · Accepted solution]

There is no fee for direct deposit.  The fee is for using the software to prepare your tax forms.  The price is the same whether you receive a check or direct deposit.  If there is any issue with the bank routing number or account number, the bank will reject the refund.   If that happens, the money is returned to the IRS and they issue a paper check instead.   

[VolvoGirl]

Are you using the Desktop program?  There is a $25 fee to efile the state return instead of you mailing it.  It is to efile the state return whether you have a refund or tax due.

[stevealborn]

Yes, it is the desktop program, and I paid the $25 to have my refund put in by direct deposit.  I gave them the banking information they needed, but it was still mailed to me.  I opted for direct deposit in past years and have never had a problem with that.

[VolvoGirl]

As I said the $25 fee is to efile the state return instead of you printing and mailing it.  It's not how to receive the refund.  If the bank rejected the deposit the state mailed you a check.  Did you get a federal Direct Deposit to the same account?  If you haven't got your federal refund yet the deposit might reject too and come to you by check.  Better double check your bank account and routing numbers with the bank.

[stevealborn]

Thanks DawnC, that is probably what happened.  I will follow up with my bank.  I thought the fee was only for efile or direct deposit, but apparently I misunderstood.   At least I got the refund.  Thanks again.

[stevealborn]

Hi Volvogirl,

Thanks for the reply.  I see what happened now; the bank routing or account numbers obviously got messed up because the federal refund was also mailed.  So the fee had nothing to do with the mechanics of the refund, I get it now.  Thanks again.