The IRS Notice CP53E is a legitimate notification sent when the IRS cannot process your tax refund via direct deposit. This usually happens because bank account information was missing from your return or the bank rejected the deposit (often due to name mismatches or incorrect routing numbers). The CP53E notice includes a legitimate toll-free information-only phone line: 866-325-4066.
This line provides recorded explanations of the notice and next steps. It does not transfer callers to a customer service representative or let you enter deposit information – it is for informational purposes only.
If you do not have a bank account, meet waiver criteria, and you do not have access to an Online Account, you will need to call the main IRS phone number (800-829-1040) and request a waiver with the Customer Service Representative.
IRS Customer Service cannot add or change banking information.
Avoid Delays to Your Refund
To help ensure timely delivery of your refund in 2026:
- Double-check your bank routing and account numbers before filing.
- Use direct deposit whenever possible.
For general information about these changes, visit IRS.gov/modernpayments.
New Rules for Refunds Starting in 2026
Beginning in 2026, the IRS will make changes to how refunds are handled when direct deposit information is missing or invalid:
- Returns filed without direct deposit information
- The IRS will still process individual income tax returns (Form 1040 series) filed without bank account information.
- However, the IRS will temporarily freeze the refund until the taxpayer provides direct deposit information or requests a paper check.
- Rejected direct deposits
- The IRS will freeze most direct deposits that are rejected by the bank and will not automatically reissue them as paper checks.
- Some reject codes are excluded, but most rejected direct deposits will require taxpayer action.
What Happens If Your Refund is Frozen
If your refund is frozen, the IRS will send you a CP53E notice, which explains what you need to do next.
- The notice asks you to add or update direct deposit information using your IRS Online Account .
- You generally have 30 days to respond.
- If you don’t take any action, the IRS will issue a paper check after six weeks.
Important: The CP53E notice is only issued once. If a second direct deposit is rejected, you will not get another opportunity to update your bank information.
How to Update Your Direct Deposit Information
Taxpayers can use their IRS Online Account to take action:
- Enter new or corrected bank information for direct deposit. Steps: Profile>Banking>Information>Add Bank Account.
- If the IRS successfully verifies the new information, the IRS will issue the refund by direct deposit.
- Taxpayers who do not have direct deposit information, or meet waiver criteria, can request a paper check waiver through their online account.