Liberty also appears to be making plans for the end of bank RALs
Even with these declines, Jackson Hewitt continues to derive a large percentage of its profits from financial products. In 2010, it earned $46.3 million in such fees, or 22% of revenues. In 2010, Jackson Hewitt’s tax preparation volume declined 8% in markets where it had RALs available versus 21% in markets where it did not have RALs.
The president of SGS Credit Services is Eugene L
Because of the loss of RALs in 2010, as well as other factors, Jackson Hewitt has struggled over the past few years. In online payday loans Louisiana, Hewitt filed for bankruptcy protection from its creditors, from which it emerged a few months later.
Liberty Tax is the third significant commercial tax preparation chain in the country, with 3,900 locations. Liberty Tax prepared 1.9 million returns in 2010 and 2 million in 2011. The chain is well-known for hiring people to stand outside stores, dressed up in Statue of Liberty costumes as a form of advertisement during tax season.
The company is planning to go public, and filed a prospectus with the Securities and Exchange Commission in ) revealing that it plans to partner with a non-bank lender to make RALs
Liberty earned $14.2 million in RAL and RAC fees in 2010 or 17% of its revenue.