Money Orders: When, Where, and How to Send

A money order is a safe and easy alternative to cash or checks

Reviewed by Khadija Khartit
Fact checked by Vikki Velasquez

A money order is essentially a paper check that can’t bounce because it’s prepaid. It can be a secure and convenient solution when you have to make or accept payment but cash, check, and electronic transfers don’t fit the bill.

You can purchase a money order at any U.S. post office or at Western Union or MoneyGram outlets such as those found inside supermarkets and pharmacies. Most banks, credit unions, and check-cashing stores offer money orders as well.

Key Takeaways

• Money orders offer an easy way to exchange funds safely when paying in cash isn’t practical, using a personal check isn’t acceptable or desirable, or a non-digital payment is required.
• Money orders are written directly to a specific party and require endorsement to be cashed.
• You can get money orders at the post office, most banks, and Western Union outlets.
• Money orders are generally inexpensive but they almost always involve a purchase fee and sometimes a redemption fee for the recipient.
• Money orders are an attractive tool for fraudsters so it’s important to check the visual security features on any you receive.

How Money Orders Work

Money orders have played a key role in U.S. history. Thieves would rob post offices and delivery runs to grab cash being sent all over the country during the Civil War. President Abraham Lincoln’s postmaster general came up with money orders as a solution.

A money order might be the best answer in situations where paying with cash, check, or a digital app isn’t ideal or even viable. They’re written directly to individuals or companies by name just like checks, requiring endorsement and identification to cash them. They’re much more secure than cash, protecting the funds in case of loss or theft.

Personal checks offer similar security benefits but money orders have the advantage of being prepaid. Accepting it as a form of payment is free of risk because the sender has already provided the funds for it. A personal check is accepted in good faith that the sender’s bank account has sufficient funds or overdraft protection to cover the check.

The advantages of money orders over cash and checks make them preferred or even required in many situations:

Note

Every money order comes with a detachable stub or receipt that allows you to track it after it’s delivered or sent.

• The recipient isn’t comfortable trusting a personal check due to a lack of familiarity with the sender or bad past experiences with previous payments.
• The sender doesn’t want to reveal their address or checking account number.
• It’s crucial to make the payment without any risk of being rejected for insufficient funds.
• The payer doesn’t have a checking account and cash isn’t practical.

Certified and cashier’s checks are potential alternatives but banks generally charge higher fees for the added security of these options. You must also go to a bank during banking hours to obtain them, offering fewer time and location options. It can be a more flexible and economical choice if a money order can handle the job.

Where Can You Buy Money Orders?

Online providers are emerging but money order purchases are still mostly a paper and in-person industry. It probably won’t be difficult to find a money order location near you, however.

Money orders can be bought or redeemed at many locations in the United States, including post offices, CVS, Walmart, and the Western Union and MoneyGram outlets tucked inside tens of thousands of 7-Eleven, Publix, Kroger, Meijer, and other retail locations. Most bank and credit union branches also offer money orders.

How Much Do Money Orders Cost?

Pay attention to pricing because not all money order sellers charge similar fees. Walmart is one of the cheapest options, charging a maximum of $1 per money order as of 2025. The U.S. Postal Service (USPS) charges either $2.35 or $3.40 per money order depending on whether the amount is above or below $500. You may be able to get a money order for free by going to a bank or credit union where you’re a customer or you may find that the cost is $5 or $10.

Another consideration is how many money orders you’ll need because the value of each one is typically capped. USPS caps the maximum value of a money order at $1,000. You’d need three money orders if you want to pay $2,500.

Buying a money order with a credit card is treated as a cash advance. We recommend paying with a debit card, cash, or a bank account withdrawal to avoid finance charges on your next credit card statement.

Money Order Scams

Money orders are susceptible to fraud and have become a common deception vehicle for thieves. Their design has evolved in response to include multiple security and anti-counterfeiting features from watermarks and security strips to rainbow ink patterns and UV-light features. Look for the multiple indicators that can tell you whether a money order is legitimate or not before you accept one.

Note the issuer if you’re ever in doubt and research the specific security features it should include.

Important

Beware if someone pays you with a money order for more than the requested amount and asks you to pay them back the difference! This is a common scam of money order fraudsters.

How to Fill Out a Money Order

The requirements for filling out a money order vary from one institution to another but the information you’ll fill in is generally the same. Print the name clearly and use ink. Fill in this section immediately as soon as you purchase the money order. It may make it more difficult for someone else to fraudulently use the money order if it’s lost but has this field written in.

Fill in your information next. Write your name and address or other identifying information on the “from” or “purchaser” line in case there are any issues or questions about the money order. This information may also be used if the money order has to be returned to you.

Now add any necessary account or reference numbers. Write any necessary account or reference numbers in the memo or account number field if you’re paying a bill or making a specific purchase.

Write the exact amount of the money order in both numbers and words in the “amount” or “dollars” field to avoid error or confusion. Then sign your name in the purchaser’s signature field. This is required to validate the money order and make it official. Detach the receipt and keep it for your records. This can also help you track the money order to make sure it was received.

$1,000

The maximum amount in which a single money order can typically be issued.

How to Cash a Money Order

You have two options for converting it into funds if someone pays you with a money order.

1. Take it to a location that redeems money orders such as a bank, post office, Walmart, or grocery store to receive its value in cash.
2. Sign the back and deposit it in your bank account like a check.

Converting it to cash offers the quickest access and you may personally escape the problem if the money order is later determined to be counterfeit or fraudulent. Redeeming money orders isn’t as convenient as buying them, however. Some convenience stores sell them but they don’t cash them. Post office locations will cash money orders but they might not have enough cash on hand to redeem a larger one.

Cashing it in could involve a fee as well. Your best bet is to redeem a money order with the same provider that issued it. Take a postal service money order to a post office or a Walmart money order to a Walmart (WMT) location. You’ll likely avoid any redemption fees. Call ahead to first verify that a location can honor your redemption and ask if any fees will apply.

The alternative is to deposit the money order into your bank account as you would a check. This offers the advantage of safely adding the payment to your bank balance rather than walking away with a large sum of cash you may not physically want or need.

Depositing a money order may not be as easy as depositing a check, however, depending on your bank. You may be accustomed to making mobile bank deposits with your smartphone but some banks don’t allow electronic deposits of money orders. They instead require you to come into a branch. Online-only institutions may not accept money order deposits at all.

Be sure to bring a photo ID with you whether you decide to turn your money order into cash or take it to your bank. Don’t endorse the money order until you’re at the counter with a clerk or teller who will accept it.

How to Replace Lost or Stolen Money Orders

Money orders take physical form so they can become lost, stolen, or damaged. You can take certain steps to replace money orders if they don’t quite make it to their intended recipient. It may take up to a month, however, to make sure it’s been lost. You can’t stop payment on a postal money order but you can replace it.

Contact the issuer of the money order. Provide the post office, bank, or retail location where you purchased it. Provide them with the details of the stolen money order such as the serial number and the amount. Ask them to put a stop payment on it if possible.

It’s also a good idea to file a police report if you think the money order was stolen. This will help you recover your money and it may assist law enforcement in catching the thief and preventing similar cases from occurring to other individuals.

You must keep a close eye on your bank and credit card accounts after taking these steps to make sure that no unauthorized transactions have been made. Report it to your bank or credit card company immediately if you notice any suspicious activity. Remain in contact with the issuer because you may have to take action to ensure your money is returned to your account.

Pros of Money Orders

Money orders provide greater security and accessibility compared to other forms of payment. They’re a secure way to send or receive money because they’re prepaid and can be replaced if lost or stolen. Recipients of money orders can be assured that the funds are available and won’t bounce.

Money orders have the advantage of being fairly easy to obtain and they can be used by anyone regardless of whether they have a bank account. They’re a more accessible form of payment because they’re usually inexpensive compared to other forms of payment such as wire transfers or cashier’s checks.

Money orders don’t require the disclosure of any personal financial information so they’re a good option for people who value their privacy or don’t want to disclose select information. Money orders are also borderless and can be sent internationally. This makes them a great option for those who are looking to send or receive money across borders.

Cons of Money Orders

Money orders aren’t suitable in all situations. There are some downsides. They usually have a maximum amount limit so you may have to purchase multiple money orders to achieve your desired total if you want to send a large amount of money. This can be inconvenient or incur additional fees.

Fees can vary depending on the amount and the location where you purchase them. Money orders can also take substantial time to process and cash compared to other forms of payment that rely on electronic financial transfers.

Money orders aren’t without potential fraud or scams. You could lose the money you sent if an unintended bad actor obtains the money order. Some businesses or institutions may not accept money orders or may make them difficult to cash for this reason.

Pros

• Safer than cash from theft or loss

• Can’t bounce like a check for insufficient funds because the amount has been prepaid

• Cheaper than a bank’s certified or cashier’s check

• Do not require the use of a bank account

• Can be sent or received from around the world

Cons

• Requires an in-person visit to a money order dealer

• Requires you to pay a purchase fee, unlike personal checks

• Not allowed for mobile deposit by all banks

• May be inconvenient to cash due to fraud protection measures

What’s the Maximum Value Available for a Money Order?

Most issuers set a limit of $1,000 for a single money order. You’ll have to get a cashier’s check or buy multiple money orders for larger amounts.

Who Cashes Money Orders?

Most banks accept money orders as well as some grocery stores, pharmacies, and money transfer services like MoneyGram and Western Union. Be aware that just because a facility issues a money order doesn’t mean they’ll cash one. Check your location’s policies before you go there.

What Can I Do If a Money Order Is Lost or Stolen?

Money orders are generally treated the same as cash but they do have a receipt attached. There may be some recourse depending on where you purchase it. Check with the issuing body to find out.

Do Money Orders Expire?

Money orders don’t have expiration dates per se but the issuing body may charge fees to cash them if they’re older than a year. They may fall into the unclaimed property category if they aren’t cashed for many years.

The Bottom Line

Money orders have become a staple from their origins as a safe way to transfer money during the Civil War to their current status as a convenient tool for those without a bank account or a need for certified funds. They’re fast and convenient buyers may have to shop around to get the best prices. Keep in mind that these are financial instruments that are considered the same as cash. Keep them safe or cash them out as quickly as possible if you receive them.