Have you heard of Money Order?A money order is a paper document that has monetary value. It is a form of payment that you can use to buy things and pay bills and more.
Money Order is similar to a personal check, just that it is not linked to your bank account. But, unlike checks, it is prepaid with cash. It is written to a payee and prepaid so the payee has an assurance that the necessary funds are available. Most times, Money Orders have a monetary cap like $500 or $1000.
When Do You Need a Money Order?
A money order is very helpful if you want to send your payment by mail. Below are other reasons you may want to consider Money Order:
- When you owe a person but don’t want to go around with cash
- Want to write a check without letting your bank account details known
- You need a funds-guaranteed way to pay someone
- You don’t have a bank account
- When you want to send money abroad
- When you are worried about a check bouncing back
Also, you may want to use a money order to:
- Pay your bills such as rent
- Make a big purchase without making use of a credit card
- Pay movers
- Want to pay for an item without holding cash
- Pay anyone who needs a fund-guarantee
- Send money to someone in a corrective institution
How Does a Money Order Work?
You can use Money Orders to pay for goods and services. What you need to do is pay the vendor in cash or using your debit card, and the vendor will then issue the money order to you.
Once you have the money order, you can go ahead to fill it out and send it to the receiver. The receiver can cash or deposit the money order just like a check.
The receipt is proof of purchase and it also allows you to monitor the money order to be sure it arrives and was cashed out by the right person.
How Long Do Money Orders Take To Clear?
Money Orders can be posted that same day it was deposited into an account, with the funds available for next-business-day withdrawals.
How Can I Buy a Money Order?
People can buy Money orders online. But most times they have to visit a bank or store to buy a money order. Follow the steps below to get it done.
- Go to the bank or anywhere a money order is available with your money and identification
- Pay for your money order
- Fill out the money order. Make sure the receiver’s name is well spelled and fill in the necessary information
- Then, mail the money order to the receiver
- Keep the receipt safe until you are sure the recipient has cashed the money order.
If you lost or your money order was stolen, the recipient can help you get a replacement.
Where Can You Get a Money Order?
There is a lot of retailers that provide money order, they have two companies that help out with this transaction that’s Western Union and MoneyGram. These companies also have their own retail store where you can get money orders directly.
Also, you can money from several vendors, supermarkets, and more. Below is a place you can get a money order.
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Any Bank or Credit Union
You can go to any local bank or Credit union to buy money orders. The fee is around $5 and doesn’t require a bank account to do this.
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Western Union or MoneyGram Locations
Western Union and MoneyGram are financial service providers, they have a retail store and does not just offer money order alone, they also provide another method to move money.
You can search for western union or MoneyGram close to you by using the locators at the Western Union and MoneyGram websites.
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US Postal Service
Go to any post office with your cash, debit card, or traveler’s check. You can’t pay for a money order by charging it to your credit card.
For an amount ranging from $1- $500, you will pay a processing fee of $1.65. While for an amount ranging from $500.1- $1000, the processing fee is $2:20.
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7-Eleven
A money order is available at the 7-eleven location but the fee varies by location.
Limit: $500
Fee: Varies by location
Provider: Western Union
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CVS Pharmacy
You can also get a money order from CVS Pharmacy, which has thousands of drugstores across the U.S.
However, at CVS Pharmacy you can buy Money orders with cash only and you must have a means of identification.
Limit: $500 per money order; $2,500 maximum per day
Fee: $1.25
Provider: MoneyGram
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Safeway
Safeway is a grocery store that operates as a banner of Albertsons Companies. You can also get a money order from the stores but make sure you confirm the fee and limit before going because it varies between locations.
Limit: $500
Fee: $1
Provider: Western Union
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Kroger
Kroger has close to 3,000 supermarkets across the US but it’s not all of them that issue out money orders the stores that do, the fee and limit varies by location.
Limit: Typically $1,000, but limits may vary by location
Fee: $1 to $1.10 on average, but fees vary by location
Provider: Western Union
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Meijer
Meijer is a local option in specific states such as Indiana, Ohio, Michigan, Kentucky, and more. You can buy money orders at Meijer without extra cost.
Limit: $500; $3,000 maximum per day
Fee: 65 cents
Provider: Western Union
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Publix
Publix functions in over 1,300 locations in Seven states Alabama, South Carolina, Georgia, Virginia, North Carolina, Tennessee, and Florida. All Publix stores sell Money Order except Greenwise market location.
Limit: $500, with no daily maximum
Fee: 99 cents
Provider: Western Union
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Walmart
Walmart is located across the USA. You can buy a money order at Walmart with cash or using a debit card. The maximum fee is $1 without no extra cost when using a debit card.
Also, you can cash MoneyGram money orders if you brought them to Walmart.
Limit: $1,000 still a $1,000 daily maxCarry
Fee: Up to $1; fees vary by location
Provider: MoneyGram
Where Can I Cash a Money Order?
You can cash a money order anywhere you can cash a check, beginning from your bank or credit union. Also, you cash a Money Order in supermarkets, stores, check cashing locations, and more. But have it in mind that some of these stores will charge you for this service.
Security Tips
Money orders are a safe alternative to cash, but they are not totally risk-free. It is still similar to carrying money around. Follow the steps below to secure your money order.
- Observe your surrounding carefully when you are buying your money order. If you are not comfortable, you can ask for help with your car.
- Make sure you fill out the money order carefully without leaving anything out. Preferably, you can do it in a black gel link
- Also, make sure you keep your receipt safe. It has a tracking number so you can check if the money order is going to travel to the payee by mail
- Use a discreet envelope when you are mailing your money order. Then make sure you alert your payee when it is in the mail, to avoid people stopping it.
- Be careful of scammers, and make sure you don’t cash money orders from people you are not familiar with
FREQUENTLY ASKED QUESTIONS
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How does a money order work?
A money order is a substitute for cash or checks. Like a check, a money order is designed to be sent to a certain person, and cannot be cashed or deposited by anyone. But, unlike a check, a money order is paid for in advance, so it’s guaranteed.
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How do I get a money order?
You can buy one at any Walmart location, Kroger, CVS, or 7-Eleven, and at any of the 31,300 U.S. Postal Service (USPS) retail offices. 1 Bank, credit unions, grocery store chains, and check-cashing stores also sell money orders.
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Can I get a money order from any bank?
Any Bank or Credit Union
You can get a money order at any local bank or credit union branch. You should not require an account at the bank or credit union to do this. You may pay a fee, typically around $5,
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How long does a money order take?
Generally, money orders should arrive to the recipient in a few days. However, during weekends or holidays, it may take longer time. Hence, make sure to wait at least 14 days before expecting some issue with the money order.
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Can you get a money order with a debit card?
You can buy Money orders with cash or a debit card at the post office, Walmart, Western Union, and your bank or credit union.