Avoid Predatory Financial Operations: Turn to Ladder Up

CHICAGO, Feb. 15, 2023 /PRNewswire/ -- Often, low-income individuals needing financial management assistance fall victim to predatory operations – like payday and tax advance loan services – that seem like a great deal but end up charging exorbitant rates and fees that leave unsuspecting clientele in worse financial shape.

Ladder Up, Chicagoland's premier financial assistance nonprofit, is a trusted provider of free tax services to individuals earning up to $32,000 and families earning up to $60,000 annually. A list of Ladder Up's Tax Assistance Program sites is available on their website, goladderup.org.

There are many telltale predatory signs to watch for, including companies that deposit a refund into bank accounts other than the client's, require you to deposit your refund into their account and they pay you back, or tax preparation sites that have a physical location during tax season and then disappear.

Ladder Up Attorney, Michelle Kuipers, said the Illinois Attorney General also warns about Refund Anticipation Loans. "Tax preparers pitch a variety of these products – tax refund anticipation loans, checks or debit cards – as a way to receive a tax refund instantly. In reality, they are short-term loans that saddle consumers with high interest rates and fees that are deducted from their tax refund," said Kuipers.

Ladder Up is a safe and trusted alternative, serving those most in need, and they advise following these guidelines to help avoid costly traps:

• Research tax preparation services and customer reviews
• Review your prepared tax return documentation including bank account and ID numbers
• Ensure all appropriate parties are correctly listed on the return
• Confirm that you will be provided a copy of the completed return for your records
• Ask your tax preparers if they will be in their location long term, or inquire about a central office should you need to contact them with a problem
• Clarify how they keep sensitive information secure

Ladder Up also offers a Tax Clinic that counsels and represents taxpayers facing controversies with the IRS or Department of Revenue that can be devastating for low-income families and individuals. In 2022, the clinic closed 152 client cases resulting in approximately $475,000 in reduced or refunded tax liabilities.

There is no reason to navigate the tax preparation process alone when help is available at no cost to the client at Ladder Up.

Media Contact: Cat Donovan
Email: [email protected]

SOURCE Ladder Up