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During the tax returns of 2015 and 2016 I tried to pay for the return with my credit card which was declined back then. So I chose to pay for the return with a deductible from my return itself. This costs additional $25 because it gets processed by the Republic Bank.

I tried to pay for my tax return again this year, and magically the card was declined again. I contacted the bank this time, and they informed me that there are no holds on my account, and what was happening was caused by TaxAct. They were submitting the charge, and immediately rolling it back. I actually saw the three charges and three charge reversal in the pending section.

Is there a chance that TaxAct is maliciously "faking" out credit card declines in order to "help" Republic Bank with the "fees"? Has anyone had similar experience before?

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    Purely FWIW, TaxAct is literally the biggest tax-preparer in the US (and I suppose, thus, the world). By all means there could be something shonky going on, but it would be a bit like finding out WalMart has some sort of scam going. Again anything is possible, but it's very likely more incompetence somewhere than an actual "nudge up the fees" scam. Again - of course - anything is possible, just pointing it out. – Fattie Feb 21 '18 at 15:50
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What are the relationships between TaxACT and Republic Bank?

TaxAct appears to use Republic Bank to do all the banking associated with your tax refund. TaxAct also advertises refund transfers and advances for Republic bank on their site.

Is there a chance that TaxAct is maliciously "faking" out credit card declines in order to "help" Republic Bank with the "fees"?

Yes, almost anything is possible. It is more likely that they just have flawed payment system and are too lazy to fix it, but it is difficult to do more than guess at their motivations.

Has anyone had similar experience before?

Other people have left reviews complaining that TaxAct declined their card, or even charged from their refund after providing them with credit card information.

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