As per Lawkidunya, a Money Order is a payment order for a pre-specified amount of money. As it is required that the funds be prepaid for the amount shown on it, it is a more trusted method of payment than a check. If we look at history, the money order system was established by a private firm in Great Britain in 1792 and was expensive and not very successful.
How does a Money Order Work?
You can purchase a money order with cash or with a debit or credit card. They’re available for sale at banks, credit unions, the U.S. Post Office, and even Wal-Mart stores. Most money orders typically have a $1,000 limit, so you may need to purchase multiple money orders to make payments for bigger amounts.
What is a Money Order Used for?
A money order is a paper document, similar to a check, used for making payments. Money orders are prepaid, so they are only issued after a buyer pays for the money order with cash or another form of guaranteed funds.O
How to Cash a Money Order
Bring your money order to a location that will cash it. You can take the money order to your bank, credit union, grocery store, and some retail stores.
1. Endorse your money order.
2. Verify your identity.
3. Pay service fees.
4. Receive your cash.
How Long do Money Orders Take to Clear?
A money order is a payment order for a pre-specified amount of money. As it is required that the funds be prepaid for the amount shown on it, it is a more trusted method of payment than a check. The money order system was established by a private firm in Great Britain in 1792 and was expensive and not very successful.
Can I cash a money order I bought?
Take the money order back to its place of purchase to try to cash it. Many sellers of money orders, such as the U.S. Postal Service, cash them if they have the cash on hand, while some sellers might not cash them at all. However, calling the location and asking can’t hurt.
Can Someone Cash a Stolen Money Order?
If your money order was stolen or lost, and not yet cashed when the issuer concludes the investigation process, a refund is issued. The USPS allows for picking up a refund, in the form of a postal money order you can address to yourself and cash immediately, at any post office.
Can you Cash a Money Order Without the Stub?
Cashing the Money Order. Bring identification. The bank won’t cash the money order without acceptable proof that you are the person who is supposed to receive the funds. Some banks and check-cashing stores also may request your right thumbprint next to your signature on the money order.