Saturday, March 15

Tax preparers take the poor to the cleaners On income of $2,425 in 2002, she was due a net refund of $99. This sum, added to her $970 EITC payment, meant she had $1,069 coming from the government.
For the calculations and paperwork, Jackson-Hewitt charged Payne a $179 tax preparation fee. For the loan, Jackson-Hewitt charged her a $25 handling fee, a $55 application fee and a $42 loan finance fee. ... But for such refund anticipation loans, 135.7 percent is comparatively low, according to a study released by the Consumer Federation of America in January. It found APRs for two-week refund loans like Payne's that ranged from 67 percent to 774 percent. Detroit Free press

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