Current Events in April 2023

You’re not supposed to mess with success, but McDonald’s thinks it’s got a better way of making its burgers.

There’ll still be “two all beef patties, special sauce, lettuce, cheese, pickles, onions on a sesame seed bun” on its Big Mac, but the company is shaking that formula up a bit for a reset of that sandwich -- in fact, its entire classic four-burger lineup.

The company said in announcing the change that its chefs have been quietly tweaking the sandwiches to make them “tastier” – at least in its mind. The improvements to the Big Mac sandwich, McDouble burger and McD’s classic Cheeseburger, Double Cheeseburger and Hamburger are, in the company’s own words…

• “Softer, pillowy buns that are freshly toasted to a golden brown 

• Perfectly melted cheese that will make you want to savor every last bit off the wrapper  

• Juicier, caramelized flavor from adding white onions to the patties while they’re still on the grill  

• Even more of everyone’s favorite Big Mac sauce, bringing more tangy sweetness in every Big Mac bite”

“I’ll always remember my first burger from McDonald’s. And now my culinary team and I have the best job in the world: thinking about ways to bring even more of that iconic McDonald’s taste to fans,” said chef Chad Schafer, senior director of Culinary Innovation, McDonald’s USA. 

“We found that small changes, like tweaking our process to get hotter, meltier cheese and adjusting our grill settings for a better sear, added up to a big difference in making our burgers more flavorful than ever.”

McDonald’s has modified things over the years like changing out the oils it uses and taking antibiotics out of its chicken, but this is the first time it’s made a major change to its burgers since 2018 when it moved from frozen to fresh beef.

The West Coast gets to try them first

The fast food chain did all of its burger experimenting out of the U.S., perhaps to save face in case fans on its home turf didn’t take a liking to the changes. The company said it tested the new recipes in Australia, Canada, and Belgium and got “rave reviews.” 

Americans will be introduced to the new recipes in waves. McDonald’s has already started rolling them out in several cities on the West Coast – Los Angeles, Seattle, Portland, San Francisco, Sacramento, Phoenix, Las Vegas, Salt Lake City, Denver, Boise, Tucson, and surrounding cities – and by the time 2024 gets here, everyone in the U.S. will have had a chance to try the new versions of the burgers out.    

Since the beginning of 2023 artificial intelligence (AI), in the form of ChatGPT, has been the rage. The platform is being used to write poetry, compose essays and answer obscure questions.

Now there are dozens of ChatGPT apps that you can download to your device. But some privacy experts see trouble ahead.

In fact, the European Data Protection Board (EDPB), the group coordinating Europe’s various privacy agencies, has established a ChatGPT task force is determine if privacy regulations are needed.

Sarah Hospelhorn, CMO at BigID, says consumers should be cautious about how they use these apps until they get a firm handle on privacy policies.

“Users’ privacy can be compromised if they're using an ungoverned set of data,” Hospelhorn told ConsumerAffairs. “It could be personal data, employee or consumer data, secrets and passwords, even seemingly benign data like your mother's maiden name or shopping history.”

Aaron Rafferty, CEO of Standard DAO, says users’ privacy can be compromised in several ways when using ChatGPT and other AI platforms. 

The threats

“The most concerning issues include the potential for data breaches, exposing sensitive user conversations, and unauthorized access to personal information,” he told us. “The scenario of Samsung employees using ChatGPT and ultimately compromising proprietary Samsung information that is now owned by OpenAI and its users is just one example of many. There's also the risk of AI-generated misinformation that could inadvertently violate user privacy or manipulate public opinion.”

Sameer Ahmed Khan is the co-founder & CEO of Social Champ, a MarTech start-up backed by Techstars. Khan says these new AI apps present new privacy concerns that haven't been factors with other forms of technology.

"A determined hacker team can infiltrate and exploit cybersecurity gaps to steal all data or inputs without alerting the target or their safeguards,” Khan told us. “ChatGPT is no different, and the exploits around its security measures are continuously being penetration tested by malicious actors.”

Privacy concerns limit business uses

Khan thinks there are limited business uses for ChatGPT because of privacy issues. He notes that Microsoft has developed a fix, and “it's just a matter of using Microsoft 365 Copilot, which was launched to uplevel business users with AI.”

The growing number of ChatGPT apps all have different privacy policies which you should review carefully before downloading. Ai Chat - GPT Chat Bot, an app available at the Apple app store, carries a note that it does not collect any user data. However, not all are like that.

Because of that, Rafferty believes U.S. regulators will eventually address privacy issues with new policies and will likely strike a balance between fostering innovation and ensuring user privacy.

If anyone has a crystal ball or knows a good genie, we’d be all ears. Consumer prices are all over the place from month to month – prices of new cars are up, prices of used cars are down, the cost of travel is up overall, but gasoline prices are down.

One consumer category that doesn’t get tracked a lot is apparel. But it’s evident that things are shifting there, too. As consumers become more conscious about the environmental impact of their purchases, secondhand shopping has emerged as a popular trend. 

“Data reveals that rising costs really are forcing consumers to rethink their habits — including spending and shopping — and many Americans are more likely to buy secondhand items than they were in the fall of last year,” said Nicole Mitchell, senior knowledge specialist on Dynata’s Research Science team. “This shift could potentially result in a positive trend for retailers looking to offer more sustainable options and grow their Gen Z and millennials customers.” 

There are a lot of Gen Z and millennials buying into the secondhand concept – 71% and 74% respectively according to Dynata’s Global Consumer Trends – and that very pivot point is something that American Eagle Outfitters is making a big bet on.

On Monday, American Eagle (AE) announced the launch of RE/AE, a resale shop of secondhand and exclusive vintage American Eagle (AE) clothing – items it curated itself and is making available to consumers at ThredUp.

Trying to distance itself from the eBays and Poshmarks of the world, AE said its new venture will enable it to deliver customizable, scalable resale experiences to shoppers as well as an augmented reality (AR) experience available on Snapchat showcasing its inaugural 200-piece collection, which includes jeans, jackets, mini-skirts, dresses, and accessories.

Mitchell said that sustainability is key for Gen Z'ers and millennials, and upwards of 60% in perceived value -- a fact not lost on AE. Throughout the site, shoppers will learn more about certain items' impact on secondhand sustainability.

How good are the prices and the quality?

When ConsumerAffairs looked at what RE/AE was offering in its resale store, the discounts on its “pre-loved” items are probably worth shoppers consideration. There were jeans at 52% off estimated retail, a skirt at 58% off, and a long sleeve blouse at 69% off.

The company said those discounted prices “represent the estimated original retail price of a comparable item of the same quality, construction and material offered elsewhere in new condition.”

AE is not alone

While AE’s partner in this venture, ThredUp, may not be a household name, it’s on the rise in the apparel secondhand market. Quietly, it’s signed up a who’s who of other apparel companies who see secondhand clothing as a safe bet given the current economy. Already signed up to use ThredUp’s resale-as-a-service platform are 40 brands including H&M, J. Crew, Francesca’s, Kate Spade, and Target.

There are two other secondhand platforms worth mentioning: Trove, which counts among its partners Carhartt, Patagonia, REI, Levi’s, Lululemon and Recurate, which has a partnership in place with Juicy Couture, Steve Madden, Michael Kors, and others.

Apple is offering its credit card holders a new way to increase their savings with a new high-yield savings account. 

The company announced that all Apple Card holders will be eligible to open a high-yield savings account with Goldman Sachs – which also comes with a 4.15% annual interest rate. That rate is more than 10 times the national average. According to the Federal Deposit Insurance Corporation (FDIC), traditional savings accounts yield a 0.37% annual interest rate. 

“Savings helps our users get even more value out of their favorite Apple Card benefit – Daily Cash – while providing them with an easy way to save money every day,” said Jennifer Bailey, vice president of Apple Pay and Apple Wallet. “Our goal is to build tools that help users lead healthier financial lives, and building savings into Apple Card in Wallet enables them to spend, send, and save daily cash directly and seamlessly – all from one place.” 

No fees, no minimum balance requirements 

For current Apple Card holders, the option to open a savings account with Apple and Goldman Sachs will appear in the Wallet app. Once you click on your Apple Card, and then get into your Daily Cash, you’ll see the option to create an account. 

When the account is set up, all Daily Cash earned from purchases with your Apple Card will be automatically deposited into your new savings account. Users aren’t required to keep a minimum balance in the account, there are no fees associated with the account or any transactions, and there are no minimum deposit requirements. However, accounts do have a maximum balance – $250,000. 

While Daily Cash will be one source of deposits in the savings account, users can also add funds to their accounts by linking other bank accounts or transferring their Apple Cash to their savings accounts. The only banking functions that are unavailable with the Apple savings account are wire transfers and cash deposits. 

Account holders will be able to withdraw the funds from their savings accounts and deposit them into other bank accounts or into their Apple Cash cards. However, you are only able to transfer up to $20,000 from your account every seven days. 

Apple Card holders earn Daily Cash on every purchase made with their card, and there is no limit to how much Daily Cash you can earn. 

David’s Bridal, one of the largest providers of wedding gowns and formal wear, is declaring bankruptcy for the second time in five years. It is also laying off nearly 10,000 employees nationwide and putting the company up for sale.

But the company went out of its way to assure brides planning their wedding that their orders are safe. The company said its stores will remain open and it plans to fulfill “all customer orders without disruption or delay.”

David’s Bridal online platforms, including its Pearl platform and vendor marketplace, remain available and accessible to brides for their wedding planning needs, company executives said. Loyalty rewards members can continue earning and redeeming rewards and the company said it will also continue honoring gift cards as it seeks a buyer for the chain.

James Marcum, David's Bridal CEO, said the company was severely impacted by the COVID-19 pandemic and it has struggled to recover.

“Our business continues to be challenged by the post-COVID environment and uncertain economic conditions, leading us to take this step to identify a buyer who can continue to operate our business going forward,” Marcum said. “We are determined to stay focused on our future because we believe we have an important role in ensuring that every bride, no matter her budget, can have her perfect dress."

Growing budget problems

Before the bankruptcy announcement, David’s Bridal began an evaluation of a wide range of strategic alternatives to maximize value for all stakeholders, including a marketing and sale process for its assets. In light of its liquidity constraints, the company said it was unable to finalize its marketing and sale process out of court and intends to continue exploring a sale of all or some of its assets pursuant to section 363 of the Bankruptcy Code.

"We are grateful to the seven decades of brides and customers who have trusted us with the most special events of their lives, as well as to the dedicated associates and valued partners who make our customers' dreams come true,” Marcum said. “We remain as committed as ever to providing excellent service, delivering for our brides and customers, and being part of magical moments."

After a four-year marriage, Walmart says it’s had all of Capital One it can take. The big box retailer is suing the credit card company over customer service.

According to sources who've seen the lawsuit, Capital One “was consistently unable to meet the customer-service standards” in five “critical” categories over a 12-month period.  Those standards included issuing replacement cards and processing payments and posting transactions in a timely fashion – standards that Walmart alleges the bank admitted in writing that it failed to meet just two months ago.

In a statement provided to ConsumerAffairs, Walmart said it looks forward to bringing its customers a new credit card option "that provides meaningful benefits and rewards soon."

But is it something cardholders should be worried about or is it just a corporate squabble? In comments emailed to ConsumerAffairs, Capital One offered this: "Walmart’s lawsuit is an attempt to renegotiate the economic terms of the partnership it agreed to just a few years ago, or end the deal early.  These servicing issues were immaterial and cured by Capital One pursuant to the terms of the agreement, without harm to customers, the program, or Walmart."

The impact on cardholders

Despite Capital One doing well in the customer service category in a recent J.D. Power satisfaction survey, the company suffered among ConsumerAffairs reviewers regarding customer service.

Some Capital One credit card holders who had Walmart-branded cards have had all they can take, too. One ConsumerAffairs reviewer called the company “a bunch of clowns.” Another said their service was “pathetic.” 

Nonetheless, consumers who have one of the Walmart-branded Capital One cards have to carry on at least for a while. Walmart told ConsumerAffairs that cardholders should not experience any disruptions in service and can continue to use their existing Capital One Walmart credit cards.

Can Walmart get all the eggs in one basket?

This whole ordeal may be part of Walmart’s desire to have every penny coming from someone using one of its credit cards directly into its pockets. Walmart has made noise about offering financial services products for years, and in January, announced plans to acquire two companies that signal a definite move in that area.

One of those companies specializes in earned wage access, a benefit that allows employees to receive part of their paycheck before payday. The other is a neo bank, basically a tech company/online banking services combo that partners with an existing, traditional bank.

However, the biggest component of Walmart’s fintech reveal is credit cards. Even though it had a pre-existing deal with Capital One, the retailer is currently testing “One,” a banking platform it offers its employees with hopes of eventually offering the service to customers. 

Walmart's plans are pretty much like shooting fish in a barrel.

“They don’t need to go acquire customers, they already have them,” David Donovan, executive vice president of financial services for the Americas at digital consulting company Publicis Sapient, told BankingDive. “They just have to roll that service out and make it really easy and simple. It’s like, build it, and they’ll come.”

Netflix scammers never sleep. At least it seems that way.

Already this year, Trend Micro reports there’ve been Netflix “We’re sorry to see you go” scams, Netflix job scams, Netflix $90 reward scams, Netflix “Having trouble with your account scams,” and Netflix “Your membership has ended, but…” scams.

Now, "Your account is on hold" messages are showing up in people’s email boxes – people who don’t even have a Netflix account! Snopes researchers say they found one instance that dates back to January, but that most of the action has taken place in the last few weeks.

Internet myth verification site Snopes reported that the messages they were sent claimed that someone’s Netflix membership had been placed on hold due to issues with their billing information or needed to be recovered. The signature on the email claimed that the message came from "Netflix Services," and – as legit emails might do – contained a link where a user could update their billing information. Of course, that link did not go to a real Netflix URL.

All indications are that this new attempt is fairly widespread. It’s been reported on TikTok, Facebook, Twitter, Reddit, and even local law enforcement agencies. The scoundrels behind this scam have gone as far as blasting out every 10-digit configuration of a phone number possible, too.

“This popped up on my phone today. There are a couple of problems with it. 1) I don't have a #Netflix account and never will. 2) My mobile number is very private and I don't give it out,” one person alerted their friends on Facebook.

How to tell if an email or text is actually from Netflix

If you get an email from Netflix, click on it at your own risk. It doesn’t matter what it’s asking for – your Netflix account email, phone, password, or payment method – odds are that it didn't come from Netflix. 

“We'll never ask you to share your personal information in a text or email,” the company warned. This includes:

• Credit or debit card numbers

• Bank account details

• Netflix passwords

“We'll never ask for payment through a third party vendor or website,” either. “If the text or email links to a URL that you don't recognize, don't tap or click it. If you did already, do not enter any information on the website that opened.”

But if you did click on a fake Netflix email, you have a good chance of saving your hide by changing your Netflix password to a new one that is strong and unique to Netflix. The company recommends that because passwords can get passed around from scammer to scammer, you should also update your password on any other websites or apps where you used the same email and password combination.

And, if you paid anything or imputed any payment information, call your financial institution or credit card company ASAP and forward the message to phishing@netflix.com.

Okay, there’s no time to waste. You’ve put off doing your taxes and asking for an extension. But don’t worry, the process for asking for an extension until Oct. 16 is simple and easy.

If you are going to mail your request for an extension, download IRS form 4868 here and print it out.

On the left-hand side enter your full name, address, Social Security number and your spouse’s Social Security number.

On the right side, on line four estimate your total tax liability for 2022. If you have one job and expect a refund, it’s simple. Enter the total federal tax withholdings from you’re W-2.

If you had a side hustle that produced income, add the amount of estimated tax you paid during the year to the amount entered on line four. Enter the same number you put on line four to line five.

On line six, enter $0, since you believe your withholdings and estimated payments will cover your tax liability. Enter $0 on line seven. Check the appropriate boxes on lines eight and nine and you’re ready to mail the form. You can find the correct address for mailing it on page four of form 4868.

If you think you’ll owe additional taxes

While the extension allows you to delay filing your taxes it doesn’t allow you to delay paying your taxes. If you think you will owe taxes you should send a check for the amount of the additional tax. If you overpay, you’ll get a refund.

Line four, the amount of what you expect your tax will be, will be bigger than line five, the amount you’ve already paid. Subtract line five from four and the difference, entered on line six, is what you will send the IRS, along with form 4868.

You can also file for an extension electronically by using Free File at IRS.gov.

You may have noticed there are now more cars and trucks on the lots at auto dealerships. There are two reasons for that: supply chains have improved but consumers aren’t rushing out to buy a new car.

A new report from automotive publisher Edmunds might explain why. The average annual percentage rate (APR) on new financed vehicles in the first quarter climbed to 7%, compared to 4.4% in the first quarter of 2022.

Edmunds, which tracks such things, says that’s the highest average interest rate on new cars since the first quarter of 2008. After rising for 14 straight months, the rate stabilized at 7% last month, which Edmunds attributes to more automakers offering low-interest incentives. That’s something carmakers haven’t had to do much since before the pandemic.

Monthly payments hit a new high

With higher interest rates so far this year, monthly car payments are also rising. The average monthly payment for new vehicles hit a record high of $730 in the first quarter, compared to $656 in the first quarter of 2022.

Some car owners are paying a lot more than that. Edmunds reports that 16.8% of consumers who financed a new vehicle in the first three months of 2023 committed to a monthly payment of $1,000 or more — a new all-time high. The average down payment for a new vehicle climbed to a record high of $6,956 in the first quarter, nearly $900 more than a year earlier.

"Since inventory levels are improving, interest rates are now topping the list of the greatest obstacles that automakers will be facing in 2023 to move metal," said Jessica Caldwell, Edmunds' executive director of insights. "But with major challenges come great opportunities.”

For example, Caldwell thinks manufacturers and dealers will have to offer buyers more special incentives on interest rates – something consumers should look for.

Tapping into pent-up demand

“This could be a powerful marketing tool that would enable sellers to tap into the significant pent-up demand that has been building over the past few years and convert that demand into actual sales," she said.

But at the same time, new car prices are still rising. The average price of a new vehicle rose 0.4% in March while used car prices continued to fall. Rising prices and still-high interest rates are prompting many new car buyers to extend the term of their loans.

According to Edmunds, two-thirds of buyers in the first quarter took out loans with terms of between 67 and 84 months.

Sam’s Club is turning 40 – but what does that mean for store members? 

The membership club announced that in honor of four decades in business, it will be offering members special discounts, in-store events, commemorative merchandise, and other deals in the coming weeks. 

“From the day we opened our doors, we’ve worked hard to build relationships and create experiences that earn our members’ loyalty,” said Ciara Anfield, chief member and marketing officer at Sam’s Club. “That passion is reinforced today through a member-obsessed culture focused on delivering value through price, quality, convenience, and assortment.” 

Birthday celebration specials

Sam’s Club has several different specials and discounts for both existing and potential members in honor of this milestone. Here’s what consumers can expect: 

• Special Club Events: With nearly 600 clubs across the U.S. and Puerto Rico, members can expect food trucks and outdoor games at their local Sam’s Club. These events are starting on Wednesday, April 19 in Miami, Florida, Reno, Nevada, Corpus Christi, Texas, and San Antonio, Texas, and will run through Sunday, June 11 in various stores across the country. The full schedule of “tour dates” is available here. 

• Limited Time Cafe Items: If you’re planning a trip to Sam’s Club before the end of April, you can get the limited edition birthday cake sundae in the cafe for $1.58: frozen yogurt, birthday cake, icing, and sprinkles. 

• Membership Offer: Now through April 19, consumers considering joining Sam’s Club can get a membership for just $10. The store is offering new members $40 off a first-time membership, putting traditional memberships at $10 for the first year and Plus memberships at $70 for the first year. 

• Special Merchandise: To honor 40 years of business, Sam’s Club created 80s-inspired merchandise. Members can get t-shirts, socks, hats, Koozies, and more. 

Special Offers for Members: Sam’s Club members can expect over $100 in special offers that are exclusive to the store’s 40th birthday celebration. These offers will be available through May 1, and are valid for in-store purchases, as well as pick-up and delivery orders. Some deals include: 

​Three-pack of Clorox bleach for $18.48

• 40-pack of Pure Life water for $5.44

• 192-count International Delight French Vanilla creamers for $12.28

• 72-count Starbucks Pike Place K-cups for $41.98

• 49-pack of Nature Valley granola bars for $15.48

• And more 

“Forty years in and yet we’re just getting started,” Anfield said. “Our momentum is fueling our focus on keeping our members at the center of all we do. We’re excited to celebrate this milestone with them.” 

Google has announced that it’s jumping in with both feet on “Free Ad-supported Streaming” (FAST). Effective immediately, it’s layered in 800-plus channels on its GoogleTV service,  a smart TV operating system that runs on television sets, digital media players, soundbars, and set-top boxes.

Until now, its content depended on aggregating an estimated 50 better-known brands such as A&E, Comedy Channel, FoxNow, Disney+, and Peacock.

Now joining the lineup will be free live-linear channels such as Tubi, Plex, three channels devoted to nothing but “CSI,” classic movie channels, a “90201” channel, Hindi/Spanish/Japanese channels, Hallmark movies, and various national and local news channels among the 800 additional choices. 

“From breaking news to blockbuster movies and everything in between, there's something for everyone. And with no subscriptions or fees, it's never been easier to jump in and start watching,” Google’s Nick Staubach said.

Everything will be available via the new “Live” tab and scrolling down a cable line-up. Plus, to make it as hassle-free as possible, there are no downloads or app installations necessary. The Live tab can be found on any TV that has Chromecast pre-loaded, which includes Google TV devices and ones that it powers like TCL, Phillips, TCL, and Sony.

What this could mean to Roku

In its announcement, Google said it now has "more free TV channels in one place than any other smart TV platform." That's a shot across the bow of Roku for sure, and since Google is the proverbial elephant in a lot of rooms, not to mention having had a spat with Roku before, this could put Roku in a tough spot.

Maybe we should’ve said a “tougher spot.” A recent report by S&P Market Intelligence found that Google's Android TV, and its offspring, Google TV, are tightening up any gap with Roku's dominance in the U.S.

This high noon showdown could be interesting, but what it could really do is elevate the consumer’s choices and availability of content. As they say, stay tuned…

Taco Bell is bringing back its Nacho Fries for an unprecedented ninth time and this time around, it’s turning up the heat even further.

For the next two weeks, the chain will have its regular recipe of Nacho Fries, but it’s also offering a new version featuring Austin, Texas-based Yellowbird Hot Sauce’s Spicy Habanero Ranch sauce. 

This new culinary collusion might signal what Taco Bell lovers should come to expect going forward. Just six months ago, Taco Bell got saucy outside its own kitchen for the first time by collaborating with Truff’s to add its “less sweet, more heat” Hotter Hot Sauce to Nacho Fries for a limited engagement. 

Taco Bell and hot sauce fans can get Yellowbird on the Nacho Fries ($4.99) and add the sauce to any other item on Taco Bell’s menu for a dollar more.

What makes Yellowbird different from other hot sauces?

On the surface, the version of Yellowbird’s sauces certainly sounds inviting: slim-cut french fries, warm nacho cheese, and some steak. According to a press release announcing the addition, the sauce is an interesting mix of both fruity and acidic flavors, too.

And if what Yellowbird makes for Taco Bell is similar to its other hot sauces, it packs some heat. Its mixture may contain carrots, cane sugar and tangerine juice, but some of its sauces’ Scovill ratings (how hot a sauce is) can run pretty high, but nothing that’ll have you running for the milk jug or clearing out your sinuses.

While taxpayers have less than a week to file their 2022 taxes, the Internal Revenue Service (IRS) is now asking taxpayers to think about whether they’ve claimed their refunds from 2019. 

According to the IRS, there are roughly $1.5 billion in unclaimed tax refunds from 2019, and time is running out for taxpayers to claim theirs. The deadline to claim the refunds is July 17. 

On top of the potential return, the IRS recommends that taxpayers file their 2019 taxes because they may also be eligible for the Earned Income Tax Credit. In 2019, the max credit was over $6,500. 

“The 2019 tax returns came due during the pandemic, and many people may have overlooked or forgotten about these refunds,” said Danny Werfel, IRS commissioner. “We want taxpayers to claim these refunds, but time is running out. People face a July 17 deadline to file their returns. We recommend taxpayers start soon to make sure they don’t miss out.” 

How to file

Though 2019 was several years ago, taxpayers still have time to file their taxes and claim their refunds. The IRS recommends starting sooner rather than later to avoid missing out on the money. The agency estimates that the midpoint for unclaimed returns from 2019 will reach nearly $900. 

For starters, taxpayers should have all of their tax documents from 2019 on hand and ready to file. These forms are also available by request from banks, employers, and any other sources of income. For those who can’t track down missing W2s, 1099s, or other tax forms necessary to file, you can request a wage and income transcript through the IRS’ website. 

Once those items are secured, taxpayers can follow the same process that they normally would when filing their taxes. 

Why is so much money left unclaimed? 

The IRS explained that because of the COVID-19 pandemic, taxes weren’t exactly top of mind for most Americans. Typically, if taxes aren’t filed within three years, any unclaimed refunds go back to the U.S. government. However, the COVID-19 pandemic extended that three-year deadline, which is now coming up in July. 

“With the pandemic taking place when the 2019 taxes were originally due, people faced extremely unusual situations,” Werfel said. “People may have simply forgotten about tax refunds with the deadline that year postponed all the way into July. We frequently see students, part-time workers, and others with little income overlook filing a tax return and never realize they may be owed a refund. We encourage people to review their records and start gathering records now, so they don’t run the risk of missing the July deadline.” 

The IRS also explained that to be eligible for your 2019 tax refund, you must also file taxes for 2020 and 2021.