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What Is a Money Order and How Do You Get One?


Written by Theresa Stevens | Edited by Ali Cybulski | Published on 05/01/2025

A money order is a prepaid check that allows you to safely send and receive guaranteed funds. Learn more about this convenient form of payment, including how it works and where to purchase money orders.

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How does a money order work?

A money order is a secure, inexpensive way to pay bills or make purchases without using personal checks or cash. You prepay for a money order — meaning when you purchase one, you use funds from your bank account or dollars from your wallet. In contrast, with a personal check, the money is deducted from your bank account after the recipient cashes it. 

Money orders are available at various places, including banks and credit unions, retail stores, and the post office.

Money order pros and cons


PROS

  • Secure: Because you pay for a money order upfront, you won’t incur insufficient funds fees due to a bounced check.
  • Widely available: It’s easy to get a money order, whether at a bank, credit union or even stores like Walmart and 7-Eleven.
  • Bank account not required: You don’t need to have a bank account to purchase a money order — you can buy one with cash or a debit card.
  • International transfers: You can use a money order to send money internationally.

CONS

  • Fees: You’ll generally need to pay a fee to purchase or cash a money order, and these fees can vary depending on the money order amount and the issuer.
  • Fraud risk: Money order fraud is, unfortunately, common. To reduce your risk of falling prey to a scam, only send or cash money orders to people you trust, and report any suspicious activity promptly.
  • Transaction limits: Each order typically has a limit of $1,000.

How do you fill out a money order?

Here are the steps to filling out a money order:

  1. Fill in the recipient’s name. This is the individual or business you want to send the money to.
  2. Add your information. You’ll want to add your name and address to the “purchaser” section of the money order.
  3. Sign the money order. Sign your name on the designated line on the front of the money order.
  4. Keep the receipt. You’ll need your receipt to track the money order and to replace it if the money order is lost or stolen.

When should you use a money order?

A money order may make sense in the following situations: 

  • You’re concerned a personal check will bounce. Because money orders are prepaid, you avoid the risk of the check bouncing once the recipient cashes it.
  • You want to send money internationally. Some issuers offer international money orders to safely transfer money abroad.
  • You don’t have a bank account. You don’t need a checking account to purchase a money order, making it easy to send money even if you don’t have an established banking relationship.

How much does a money order cost?

The cost to get a money order depends on where you purchase it and the amount you want to send. Here are the fees charged by common money order issuers:

  • USPS: up to $3.40
  • Walmart: up to $1
  • Western Union: varies by location

Where can I get a money order?

You can get a money order at post offices, banks, credit unions, retail stores like Walmart and 7-Eleven, or check-cashing companies such as Western Union. Fees and money order amount limits will vary by the issuer.

USPS no longer sells international money orders as of September 2024. Starting in September 2025, USPS will no longer cash international money orders.
 

Where can I cash a money order?

You can cash money orders at many of the same places you can purchase them, including banks, credit unions, retail stores and post offices. The fees for cashing a money order vary, but the most affordable option is usually your own bank or the original issuer. For example, money orders issued by the Postal Service can be cashed for free at any post office.

Money order vs. cashier’s check

Money orders and cashier’s checks are safer alternatives to cash and personal checks because they both provide a way to send and receive guaranteed funds. However, they differ in a few key ways. 

One of the main differences between money orders and cashier’s checks is that money orders are widely available, while cashier’s checks are only available through banks and credit unions. 

Also, money orders are typically issued in $1,000 increments, but cashier’s check limits can be higher.

Money order alternatives

  • Wire transfers: A wire transfer can be an option to consider, especially for larger amounts. Wire fees vary by bank.
  • Personal checks: You can pay a bill or make a purchase with a personal check, but make sure you have enough money in your bank account to cover the check.
  • Peer-to-peer payment apps: You can use a digital payment platform, such as Venmo or Zelle, to safely send and receive money with people you trust.

Frequently asked questions

What happens if you lose a money order?

You can usually request a refund or replacement check from the issuer if you lose a money order. 

Can I request a refund for my money order?

You can request a refund if the money order hasn’t been cashed. Contact the money order issuer, such as the U.S. Postal Service or Walmart, to ask what they need from you to complete the refund process. Keep in mind that you may have to pay a refund processing fee.

Do money orders expire?

No, money orders don’t expire. However, in some states, a nonrefundable service charge may be deducted from the principal amount if you don’t use or cash the money order within one to three years.

What is the maximum amount for a money order?

Money orders are usually capped at $1,000, though the limit can be higher or lower, depending on the issuer.



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