How Can I Void a Money Order Purchased From a Bank?
To void a bank money order, you must return the money order to the bank that issued it. State banking laws are generally based upon the Uniform Commercial Code, and under the UCC there are two different kinds of bank money orders. Actual bank money orders are obligations of the bank, while personal money orders are negotiable instruments that you can buy from a bank. Either way, you pay cash to buy a money order and you can only get a refund if you return the money order to the bank.
Other People Are Reading
Instructions
-
-
1
Locate your money order. Money orders typically come with a duplicate copy that you keep when you negotiate the money order. To void a money order you must return both the actual money order and the purchaser's duplicate copy to the bank.
-
2
Go to the bank. Hand one form of government-issued identification, the money order, your duplicate copy of the money order and, if applicable, your money order purchase receipt to a bank teller. Instruct the teller to void the money order.
-
-
3
Instruct the teller to give you a cash refund or you can also ask the teller to replace the voided money order with a new money order. In the latter case, you must write "Not used for intended purpose" on the endorsement line on the back of the original money order and the teller will use that money order to purchase a new one. If you want a cash refund, you must write "void" in capital letters across the front of the money order.
-
4
Review your new money order for accuracy and if necessary instruct the teller to make any needed corrections. If you requested a cash refund, count your cash in front of the teller before you leave the bank.
-
1
Tips & Warnings
When you buy a personal money order from a bank, the teller hands you a blank money order for the amount requested and you must write in your name as the remitter. If you lose a personal money order, you can ask your bank to place a stop payment on it.
When you buy a bank money order, the teller pre-prints the money order with your name as the remitter and the bank has a legal obligation to honor the money order when presented for payment. You cannot place a stop payment on a bank money order. However, you can ask the issuing bank to cancel it if no one negotiates it within 90 days of the purchase date.
Technically, money orders never expire, which means you could wait for several years before cashing a money order. However, every state has some kind of abandoned property law that requires banks to notify the state when sums of money have been unclaimed for a certain number of years. Funds kept on hand for outstanding money orders are subject to such laws. Banks must surrender abandoned funds to the state and you must contact the state's abandoned property division to get your money back.
References
- Bankers Online; Return Deadline; Bank Money Order; John Burnett; September 2003
- Banking Questions; Voiding a Cashier's Check; May 2009
- Columbia Law Review; Personal Money Orders and Teller's Checks: Mavericks Under the UCC; March 1967
- Bankers Online; Stop Payments on Bank Issued Money Orders; John Burnett; April 2005
