It's that time of year again, when your mailbox fills up with tax forms, commercials tout the "best" places to get your taxes done, and every night on your way home -- if you are me -- you get to pass the Liberty Tax guy standing in front of a spotlight, masquerading as the Statue of Liberty. 

So what are people doing with their tax refunds? Vacations? Paying off debt? Shopping sprees? According to Yahoo Finance, the average tax refund in 2011 was $2,913. That's a pretty big chunk of change to perhaps use as a down payment for a new vehicle. Here at AFN.net, we've come across some advertisements where dealerships and even lenders are encouraging their customers to put their refunds toward the purchase of a new ride -- and this could be meaningful for the subprime sect.

Source: http://atlanta.americanclassifieds.com

In a time where the lending climate is improving in the subprime sector, consumers with less-than-perfect credit are still expected to pay a significant down payment amount. At this time of year, the subprime customer might have a little extra dough to throw around.

Here's the question: Does using a tax refund as a down payment help consumers score loans with lower rates and monthly payments, ultimately resulting in a higher probability of repayment? For example, with a $1,000 down payment, a consumer financing a $15,000 car would pay $297.46 per month at a 10% interest rate. With a $3,000 down payment, the monthly rate would be $254.96. Is that a big enough difference?