Money orders are a fast and secure method of paying bills or transferring money to distant places. They can be replaced if lost or stolen. Many businesses that prefer not to accept personal checks will accept money orders because they know the money has to be paid up front and there is no risk that the money order isn’t good.
A money order is a form of money or wire transfer. Money orders are sold by the United States Postal Service (USPS) and by commercial providers such as Western Union and many banks. The USPS can send money anywhere in the United States plus about 30 foreign countries, mainly in Latin America. Western Union has a network of agents worldwide; money can be sent almost anywhere using their service.
The first step to send a money order is to find a place to purchase one. USPS money orders may be purchased at any U.S. post office, from rural route carriers and on military facilities overseas. Western Union agents include supermarkets, convenience stores and check-cashing stores. You may purchase money orders in person at your bank. Commercial providers, including Western Union, also allow you to send money orders online.
When you buy a money order from the USPS, you must fill out the money order with your name, address and phone number. You may include an e-mail address if you wish. You also need the recipient’s name and address. If you purchase more than $1,000 worth of money orders in a single day, you have to show a valid photo ID (for example, a driver’s license, state ID or military ID). For amounts more than $3,000, you’ll have to complete Form 8105 (Funds Transfer Report). Payment is by cash, traveler’s check or credit/debit card.
Write your name, address and phone number along with the name and address of the recipient on the money order. As with a USPS money order, you will need to show a valid photo ID if purchasing a money order for a large amount.
Western Union and other providers that offer online money orders require your name, address and phone number plus the recipient’s name and address. You also have to provide a credit or debit card number and expiration date (usually Visa, MasterCard, Discover and/or American Express are accepted) to pay for the money order.
How Do Television Shows Make Money?
Ever wonder why that new smart phone that hasn't even been released appeared in an episode of your favorite television show, or...
Information Required for an International Money Transfer
The most common way for individuals to transfer money internationally is through a wire transfer. A number of companies exist to help...
How to Send a Money Order From the USA to Canada
You can send a money order from the USA to Canada safely and quickly. Although the two countries use different currencies, you...
Information on Cashing a Postal Money Order
Named United States Postal Service (USPS) postal money orders are an efficient and cheap way to send cash through the post while...
Do You Sign a Money Order to Cash It?
A money order is a traceable means for an individual to pay for products and services. The usage of money orders is...
How Can I Track My Money Order?
Money orders, also known as money transfers, are a convenient ways of sending funds when you can't use electronic funds transfer or...