Walk in with cash or a debit card, ask for a money order, and the teller will issue one on the spot

Most banks issue money orders at the teller window during business hours. You bring cash or use your debit card to pay for the money order itself, plus a fee (usually $5 to $10, though this varies by bank). The teller fills in the payee name, amount, and your information, tears it from a pad, and hands it to you. The whole transaction takes five to ten minutes. You walk out with a document that functions like a may provide check—the recipient can cash it at a bank, check-cashing store, or sometimes a grocery store.

Not all banks offer money orders, and some have stopped the service entirely. Call your bank's main number or check their website before you go. If your bank does not issue them, you can get a money order from a check-cashing store, grocery store, or post office instead, though the process and fees differ slightly at each location.

Key Takeaways

  • Call your bank first to confirm they issue money orders and ask about their fee, which typically ranges from $5 to $10.
  • Bring cash or a debit card to the teller window; you cannot pay with a credit card or a check.
  • Have the payee name ready and know the exact amount you need, because corrections require a new money order.
  • Money orders issued by banks are safer than personal checks because the bank guarantees the funds, but they are not traceable the way a wire transfer is.
  • If your bank does not offer money orders, the post office, Walmart, and most grocery stores sell them for similar or lower fees.

What you need to bring to the bank

Bring a form of payment—cash or a debit card. You cannot use a credit card or write a check to pay for a money order. You also need to know the name of the person or business receiving the money (the payee) and the exact dollar amount. Write these down before you go, because the teller will ask for them and any mistake means you have to buy a new money order.

You do not need to be a customer of the bank to buy a money order there, though some banks restrict money orders to account holders. Call ahead if you are not sure. Bring an ID if you are not a customer, because the teller may ask for it.

The step-by-step process at the teller window

Go to the teller window and say you want to buy a money order. Tell them the amount and the payee name. The teller will enter this into their system, calculate the fee, and tell you the total cost. Hand over your cash or debit card.

The teller will print or write the money order, which shows the amount, payee name, the bank's name, and a serial number. They will also print a receipt for you. Keep the receipt until the money order is cashed or deposited—it proves you bought it and shows the serial number, which you can use to track the money order if it gets lost or stolen.

Sign the money order in the space marked "From" or "Purchaser." Do not sign the back; that is for the person who cashes it. Take both the money order and the receipt.

Money order fees and what they cover

Bank fees for money orders range from $5 to $10, depending on the bank and whether you are an account holder. Some banks charge less for customers; others charge the same to everyone. A few banks have stopped issuing money orders altogether and direct customers to wire transfers or other payment methods instead.

The fee is separate from the amount you are sending. If you want to send $500, you pay $500 plus the fee—so $505 to $510 total, depending on your bank. There is no refund if the money order is not cashed, though you can request a replacement if it is lost or stolen (see the section below on what to do if a money order goes missing).

How to track or replace a lost or stolen money order

If your money order does not arrive or you think it was stolen, contact your bank with the serial number from your receipt. The bank can tell you whether it has been cashed. If it has not been cashed, the bank can issue a replacement, though this usually takes 30 to 90 days because they have to wait to make sure the original does not show up.

If the money order has already been cashed, you have no recourse—the bank has no way to reverse it. This is why money orders are riskier than wire transfers for large amounts: once someone cashes it, the money is gone. For this reason, do not send a money order to someone you do not trust, and do not give the serial number to anyone except the person who is supposed to receive it.

When a bank money order makes sense versus other payment methods

Use a bank money order when you need a may provide payment that does not require a bank account from the recipient. Landlords often ask for money orders because they are safer than personal checks. Utility companies and government agencies sometimes require them. Money orders are also useful when you do not have a checking account or do not want to give out your bank details.

A wire transfer is faster (usually same-day) and more traceable, but it costs more ($15 to $50) and requires the recipient's bank account information. A personal check is free but takes 5 to 10 business days to clear and can bounce. A cashier's check (issued by a bank and may provide like a money order) is similar to a money order but larger amounts are more common, and some banks charge more for them. ACH transfers (electronic bank-to-bank transfers) are free and take one to three business days but require both parties to have bank accounts.

Why some banks no longer issue money orders

Fewer banks offer money orders than they did ten years ago. Some have stopped because wire transfers and digital payment apps handle most of what money orders used to do. Others cite fraud concerns or the cost of managing the service. A few banks still issue them but only to account holders, or only in limited amounts.

If your bank does not issue money orders, you have other options: the U.S. Postal Service sells them for around $1.45 to $2.00 (depending on amount), Walmart and most grocery stores sell them for $0.70 to $1.50, and check-cashing stores sell them for $2 to $5. The process is the same at all of these locations—you bring cash, tell them the amount and payee, and walk out with a money order and a receipt.

Frequently Asked Questions

Can I buy a money order with a credit card?

No. Banks and most other money order sellers only accept cash or debit cards. If you want to use a credit card, you could withdraw cash from an ATM first, but you will pay an ATM fee on top of the money order fee.

What happens if I make a mistake on the money order?

You cannot correct a money order once it is printed. You have to buy a new one. This is why you should write down the payee name and amount before you go to the teller, and double-check them before you hand over your payment.

Do I need to be a customer of the bank to buy a money order there?

Most banks sell money orders to anyone, but some restrict them to account holders. Call your bank first to ask. If they do not sell to non-customers, the post office or a grocery store can issue one instead.

How long does a money order stay valid?

Money orders do not expire, but some banks and issuers stop honoring them after a set period (often one to three years). To be safe, cash or deposit a money order within a few months of receiving it. If you are sending one, ask the recipient to cash it promptly.

Can I cancel a money order after I buy it?

Yes, but only if it has not been cashed. Contact your bank with the serial number and receipt. They will issue a refund, though it may take 30 to 90 days because they have to wait to confirm the original money order was not cashed elsewhere.