The first monthly payment of the advance Child Tax Credit was deposited into the bank accounts of millions of eligible American families last Thursday. Those who qualified received the first of six scheduled payments of $300 per child, depending on income levels.
The IRS has stated that over 90% of eligible families will receive their payments through direct deposit, but there are still families who have not set up payments to be sent through their bank accounts. If you filed 2019 or 2020 taxes and received your return through direct deposit, then you will not need to take further action and should check your bank account to see if your payment was deposited.
If you do not have direct deposit set up, you are then scheduled to receive your payment through either a paper check or prepaid debit card. These payment methods will take longer to arrive. In order to ensure you receive your next payment via direct deposit, next month’s deadline is August 2.
Alternatively, if you are already enrolled in direct deposit and/or wish to unenroll entirely from the child tax credit payments, the deadline is also August 2 to stop receiving further payments. You can decide to either unenroll entirely from monthly payments or opt out of the child tax credit in general if you believe your income situation will change and are worried you might be asked to pay it back next year.
The IRS phrased the deadline as being three days before the first Thursday of the month in which you wish to stop receiving payments — which falls on Monday, August 2. For September, the dates will be different.
See: Is There Still Time To Get The Child Tax Credit?
Find: Having Trouble Accessing the Child Tax Credit Portal? Here’s How To Sign Into ID.me
In order to update your direct deposit information to receive payments, unenroll from monthly payments, or opt out of the child tax credit entirely, you will need to use the Child Tax Credit Update Portal here, and scroll down to “Manage Advance Payments.” From there you can input or change direct deposit information and overall manage your profile to whether or not you want to continue to receive payments.
More From GOBankingRates:
- What Money Topics Do You Want Covered: Ask the Financially Savvy Female
- 5 Things Most Americans Don’t Know About Social Security
- 20 Home Renovations That Will Hurt Your Home’s Value
- What Income Level Is Considered Middle Class in Your State?
Last updated: July 22, 2021