CP53E Notice: IRS Needs Direct Deposit Info for Your Refund

A CP53E notice means good news with a catch. The IRS owes you a refund, but it doesn't have a bank account it can send the money to. Because the federal government is moving away from paper checks, the IRS is asking you to add or update your direct deposit details online. You don't owe anything, and nothing is wrong with your return because of this notice. You just need to act within 30 days if you want the fastest payment.

Why you got a CP53E

On March 25, 2025, Executive Order 14247, "Modernizing Payments To and From America's Bank Account," directed the Treasury to move federal payments to electronic methods. The IRS says it generally stopped issuing paper refund checks to individual taxpayers after Sept. 30, 2025, with a limited number of paper checks where no alternative is available. Filing your return hasn't changed; only how refunds are delivered.

The IRS says you could receive a CP53E when:

• Your return shows a refund, but the bank information is invalid, missing or rejected by the bank, or
• The IRS corrected a return that showed a balance due, and it now shows a refund. Examples include estimated tax payments you made but didn't report on the return, or math errors such as addition or subtraction mistakes.

What the CP53E says

Look for:

• The notice date. Your 30 days run from this date.
• The refund and tax year involved.
• Instructions, a web link or a QR code to your IRS Online Account.
• A toll-free number for general questions. Note that IRS phone staff cannot update bank information for you.

What to do

You have 30 days from the date of the notice to add or update a bank account, or to select an exception that allows a paper check.

Rules for the bank account

• It must be yours. The IRS requires an account in your own name or a joint account you share. You can't use a friend's or relative's account. If the IRS can't validate the account, it issues a paper check.
• No bank account? The IRS points to other electronic options, such as prepaid debit cards and mobile payment apps that have routing and account numbers. Check with the provider for the right numbers. The FDIC's GetBanked page and MyCreditUnion.gov list low- or no-cost accounts.
• Paper check exceptions. The IRS says there are limited exception conditions you can select in your online account to request a paper check.

Your refund may still be reduced

When the refund is issued, it can still be offset to pay other debts, such as past-due federal tax, child support or certain federal or state debts. See our guide to refund delays and offsets.

What happens if you ignore it

The IRS says that if you don't respond, it will issue a paper check after 6 weeks, as long as there are no other issues with your return. Mailed refunds take longer and can be lost or stolen. Responding within 30 days is the faster and safer path. You won't owe a penalty for not responding.

Is this notice real?

This notice is a target for scammers because it involves bank details. Protect yourself:

• The IRS says it will only ask for missing banking information by U.S. mail to your last-known address. It will not call or text you to request it.
• You enter bank details only inside your IRS Online Account. IRS employees cannot take direct deposit information by phone or in person, so anyone who asks for it on a call is not the IRS.
• If you use the link or QR code, check that the address starts with "https://" and ends in ".gov". Safer still, type irs.gov into your browser and sign in from there.

Read our IRS scams guide for more warning signs.

IRSV.com is an independent guide and is not affiliated with the IRS. This page is general information, not tax or legal advice. Rules change; confirm details on IRS.gov or with a tax professional. Found an error? Tell us.