It’s the moment taxpayers dread:

You check “Where’s My Refund?” (WMR)
And you see:

Refund Sent
Direct Deposit Date: Friday

But then you check your bank account…

Nothing.
No pending deposit.
No credit.
No money.

Understand this — your refund is not lost, missing, or stolen.
This is a timing issue rooted in how the modern banking system works.

The IRS vs. The Banking System: Two Different Clocks

When WMR says:
“Refund Sent”
it means the IRS released the funds into the national banking exchange network.

But here’s the important part:

That does not mean your bank has posted it yet.

Why?

Because the IRS release time and the bank processing window are not synchronized.

The Friday Deposit Trap

Almost every year, millions of refunds are:

• officially released by IRS on Thursday evening
• marked “sent” in WMR on Friday
• but NOT visible in bank accounts until:

Monday
or
Tuesday

Here’s why:

Banks do not fully process ACH deposits on weekends or bank holidays.

The IRS sends the money into the system,
but the bank does not post or display it until the next business processing cycle.

The Federal Reserve Settlement Window — The Real Cause

Refund deposits enter the ACH (Automated Clearing House) network, overseen by the Federal Reserve.

Here’s how settlement works:

• IRS sends refund file to Treasury
• Treasury pushes funds into ACH network
• ACH batches are settled in bank cycles
• Banks apply their own posting rules

When funds are released late Thursday or Friday,
they miss the final settlement window for the week.

That means:

Your money exists
Your bank knows it’s coming
The IRS has completed its part

But the funds cannot legally post until the next business banking day.

Why Some Banks Show Pending and Others Show Nothing

Bank policies differ:

Large Traditional Banks

(Bank of America, Chase, Wells Fargo)

• show deposits only when finalized
• often do not display pending refunds

Online-forward banks

(Chime, Cash App, Varo)

• may show refund credits early
• sometimes provide “early access”

Credit Unions

• tend to follow conservative posting rules

So two taxpayers with the same deposit date can see:

One shows “pending”
The other shows nothing
Both are processing normally

Understanding the “24-Hour Myth”

You’ll often hear:

“After IRS sends it, you’ll see it in 24 hours.”

That is misleading.

The correct expectation:

• If IRS marks “sent” on Monday → most banks post Tuesday
• If IRS marks “sent” on Tuesday → most banks post Wednesday
• If IRS marks “sent” on Thursday → most banks post Friday
• If IRS marks “sent” on Friday → most banks post Monday (or Tuesday)

The 24-hour expectation only applies
when the deposit falls inside banking hours —
not outside of them.

Real Example

WMR shows:
Refund Sent: Friday, March 7

Reality:

• ACH receives Friday
• Bank does not process Sat/Sun
• Bank processes Monday
• Deposit visible Monday afternoon or Tuesday morning

Actual timeline: 3–4 days, not 24 hours.

When Should You Actually Worry?

You should begin investigating ONLY if:

• 5 business days pass
• and there’s still no deposit
• and your bank confirms no incoming ACH record
• and your transcript still shows TC 846
• but no reversal code (TC 841) appears

If TC 841 appears —
that means the bank rejected the deposit.

But until then —
no panic is warranted.

When WMR says “refund sent” but your bank shows zero:

It is not:

• a mistake
• a rejection
• stolen money
• a fraud issue
• a denied refund

It is simply:

the banking settlement schedule.

What You Should Do

• Take a breath
• Wait until the following business day
• Check again after 2 pm local bank time
  (Banks often post incoming ACH after batch-clearance windows)

Do NOT:

• call the IRS
• call your bank aggressively
• assume fraud
• file complaints
• request tracers prematurely

Everything is still functioning normally.