Refund Transfers and Buy-Now-Pay-Later Services
Are you familiar with buy-now-pay-later services? It essentially does exactly what it says. Consumers are able to "buy" things now, and pay for the items in monthly installments. In order to appeal more to Millennials, many businesses are using this strategy as a way to lure them in.
Similarly, refund transfers offer a "File Now, Pay Later" approach that can certainly influence Millennial tax filing behavior. As a result of Millennials being cautious about getting into financial trouble, 1 out of 3 Millennials have a credit card, and use a debit cards for purchases more than any other payment.
This makes a refund transfer option for Millennials a very enticing one to pursue.
Why Don't Tax Pros Position Refund Transfers With Millennials In Mind?
If you're thinking Millennials prefer Turbo Tax's free software, then you're probably not wrong. Unfortunately, it's only because they've never heard of a refund transfer and how it works. Otherwise, they may be coming to your tax business instead.
But, here's the thing.
Taxpayers are limited by what they know, and hate overpaying for a service they think they can do. And that's exactly where you'll find the opportunity. You need to show them 2 important things:
1. They don't know all the tax information to maximize their tax refund.
2. Build trust, so they know you're not just interested in their offer.
Refund Transfers Show How You Can Solve Their Payment Problem
Millennials will refund transfers as a genuine attempt to help you get your taxes professionally prepared on time, and with the option to pay after their refund arrives. By now, you'll have explained that even though there is a cost, they'll still get a higher tax refund with you than if they did it themselves on Turbotax.
By sharing meaningful content throughout the year in form of tax tips and relevant advice, you're giving yourself an opportunity to engage with a new demographic in a very real way.