Regulators Warn of New Tax Refund Loan - kcentv.com - KCEN HD - Waco, Temple, and Killeen

(KCEN) -- There's a warning out about a new and expensive tax refund loan.

Regulators previously cracked down on refund anticipation loans offered by some banks. Now tax preparers and cash advance stores are touting a more expensive version.

But the National Consumer Law Center says these loans have a typical interest rate of a whopping 36 percent.

Critics say these loans just aren't worth it.

Most taxpayers get their refunds in less than three weeks if they file online and choose direct deposit.

There are also several free tax preparation services for low income taxpayers.