We’ve all seen the advertisements when someone is in a bind and needs to get a quick loan from a friend or family member to cover some unexpected expenses like bills or bail. The typical scenario involves a concerned but annoyed parent driving to the nearest bank or money transfer agent to send a money order to their financially strapped child or relative. Giving someone a financial gift no longer necessitates leaving the house, thanks to the internet and certain inventive firms. You can now purchase money orders online, although they differ slightly from traditional money orders. However, in this guide, I will explain how to send and buy an online money order. So, keep reading!
Overview
An online money order is a way to make a payment that is similar to a check, except that the payment is secure. This is done if it has already been paid for with cash, a credit card, or a debit card. Money orders provide a secure means of transporting significant amounts of cash for individuals who do not possess a bank account.
In addition, when making an online purchase, you can use a bank’s or other financial institution’s online money order in place of cash or a personal check. One can either cash in or deposit an online money order. Money orders purchased online are widely accepted and may be cashed out at any bank. This makes them a popular payment option for those who don’t have bank accounts. Most financial institutions sell them for a nominal service fee and accept them as payment in full for consumer and commercial debts.
How Do Online Money Orders Work?
Online money orders require a recipient’s name and amount. The majority of money orders have an aggregate limit of $1,000. Hence, it would be necessary to place multiple orders in case you require a quantity exceeding the specified amount. You must complete the money order precisely as it is a unique transaction. Online money orders include the payee’s name, the business’s name, and the cashable amount. The stated dollar value is exclusive of any applicable fees. So, it is advisable to consider all associated expenses when procuring money orders. Banks and credit unions charge more for money orders than convenience stores. The system will print the unique identification number of an online money order on the receipt. Thus, keep this information until you process the money order. Without a receipt, money orders might be difficult to track.
How to Buy an Online Money Order
Sometimes, the age-old tradition of scribbling on a piece of paper or handing over some greenbacks just won’t cut it when it comes to settling a debt or making a purchase. Money orders are a versatile payment option that comes in handy when cash or checks just won’t cut it. If a checking account is not at your disposal, fret not! A money order can serve as a delightful alternative to a check when it comes to settling debts with billers or creditors. However, to help you, we’ve compiled a list of the various ways to buy a money order online. Thus, they include the following:
#1. Use a Credit Card
While some purveyors of money orders do accept credit cards as a form of payment, it is not a universal practice across the board. Venturing out to Western Union or 7-Eleven? Also, remember that you can use your credit card to obtain a money order. Purchasing a money order with a credit card can be quite a costly endeavor. Your card issuer may perceive it as akin to a cash advance. This means that you will subject yourself to exorbitant interest rates and fees when you avail cash advances. Unfortunately, cash advances and money orders are not gateways to earning points or rewards. Therefore, indulging in these transactions will not bring you any closer to the coveted prizes.
#2. Buy With a Pin-Enabled Visa or Mastercard Gift Card
Here is another way to buy an online money order. These cards are your golden ticket to paying for your transactions at Western Union, Amazon, and the post office. However, people frequently associate such behavior with dubious conduct. As a cunning strategy, certain individuals procure pre-paid cards and promptly convert them into cash to reap the benefits of any rewards that come with the cards. After acquiring the money orders, they proceed to deposit them into their bank accounts and utilize the funds to settle their financial obligations.
Furthermore, the act of depositing a large number of money orders into your savings account may give the impression of engaging in money laundering, which could result in the bank closing your account.
#3. You Can Buy a Money Order Remotely
In this digital age, it’s now possible to buy and dispatch a money order online with certain companies. That is to say, you can easily obtain a money order online and make payments using your PayPal account, which is conveniently linked to your bank account or credit card. Nonetheless, this particular technique may not be as expeditious as alternative means of transferring funds via the Internet. Rather than a swift electronic transaction, a tangible money order is generated and dispatched to the intended recipient via mail.
#4. Use an Online Transfer Service Provider
Money can be sent electronically from one location to another through online transfer service providers. Western Union, MoneyGram, and eBay are some examples of such businesses. Money orders with a maximum amount of $1,000 cost 70 cents each at Walmart, Inc. The costs that are charged for money orders at Western Union and MoneyGram can vary from one branch to the next. Thus, you should expect to pay a minimum of one dollar for a money order of up to one thousand dollars.
How to Send an Online Money Order
The realm of online money orders is a constantly shifting landscape. While scouring the web for online money order options, I stumbled upon a handful of websites that caught my eye. However, it seems that most of these services are based outside of the United States. To make matters more complicated, both the sender and receiver must be physically present in the country to utilize these services. While perusing the vast expanse of the internet, one may come across certain establishments that claim to provide online money orders. However, upon closer inspection, it may be revealed that these entities are offering money transfers, which, although similar in function, are not quite the same thing.
So, if you’re planning to send money through the mail, consider using money orders as a secure substitute for cash and personal payments. The U.S. Postal Service® offers money orders that are not only budget-friendly but also universally recognized and have an infinite lifespan. The receipt for your money order is a valuable tool that can help you keep tabs on your payment and serve as a testament to its worth if it is misplaced, stolen, or harmed. However, to guide you, we’ve compiled a list of the various ways to send money orders. Thus, they include the following:
Step 1
In the process of monetary exchange, the benefactor utilizes their digital banking or plastic currency to transfer funds to the beneficiary’s bank account, mobile wallet, or a conveniently located agent. Imagine this: You’re sending money through Western Union. The lucky recipient can choose to retrieve it at a Western Union agent, conveniently located at various grocery stores, convenience stores, and other locations. Alternatively, they can opt to have the funds sent directly to their mobile wallet or bank account. The digital realm is at your disposal for this transaction. The cost of transferring money is contingent on both the amount being transferred and the destination country.
Step 2
To send a money order through Western Union, for instance, it is necessary to visit an authorized agent in person and make the purchase. Subsequently, you may provide or dispatch the money order to the intended recipient. The fee associated with sending a money order through Western Union is approximately $1.50 for amounts up to $1,000.
Typically, the cost of sending a money order is lower compared to conducting an online money transfer. Also, note that using a credit card when you want to send a money order or conduct a money transfer may incur significant fees as it is classified as a loan of money. Thus, it is advisable to use cash or opt for a bank transfer.
Step 3
The cost of sending an online money order is a bit of a moving target, as it depends on a few factors. These include the destination of the funds, the amount being sent, and whether the recipient will be picking up the funds or receiving them via their mobile wallet. For a mere 70 cents, you can send a money order in person for up to $1,000. So, if you’re looking to obtain a money order, you’ll likely need to make a personal visit to a bank, as they typically offer this purchase service. For a mere fiver, you can have it all! So, if you’re looking for an alternative to traditional money transfer methods, consider giving Xoom a try.
However, keep in mind that you’ll need to link a bank account or credit/debit card to make transactions through the app. To assure reliability, study any online money order company, especially if it is new. So, if you have any doubts, buy your money order in a bank, post office, or grocery shop. Although it may not be as convenient, opting for this alternative will result in reduced costs and eliminate concerns regarding the authenticity of the transaction.
Can I Buy a Money Order Online With PAYPAL?
The functionality of your PayPal debit card is identical to that of any other debit card bearing the Mastercard logo. This indicates that you can use your PayPal debit card to buy a money order at locations that sell money orders and accept Visa as a payment method.
How Long Does a Money Order Deposit Take?
Display your identification and tender the money order to the cashier or clerk. Kindly note that it may take a few sunrises and sunsets for the funds to be at your disposal.
How Long Does a Money Order Take To Deliver?
The recipient can expect to receive the money orders within a few days. However, on weekends or holidays, the wait time may be extended. It is imperative to exercise patience and allow a fortnight to elapse before anticipating any complications with the money order.
What Is the Limit on a Money Order?
The limit of a money order varies depending on the vendor, with fees ranging from a mere $0.35 to $2.00. The financial world has set a limit on money orders, which usually do not exceed the grand sum of $1,000. In certain locations, there could be a cap on the quantity permitted. In case you find yourself in a predicament where you require several money orders to surpass the limit, it might be more advantageous to opt for a solitary cashier’s check covering the entire sum.
Do Money Orders Get Verified?
Each agency has its system for verifying money orders. It’s normal to call the money order seller and give them the serial number and amount.
The Final Takeaway
The utilization of online money orders enables the beneficiary to promptly receive a monetary gift from a financial institution or bank. Due to this fact, online money orders have gained popularity as a viable option for making payments of small to medium amounts in situations where cash or personal checks may not be feasible. Online money orders offer the advantage of being replaceable in case of loss, provided that a receipt is provided. Additionally, they are not subject to bouncing due to inadequate funds, unlike cash.
References
- westernunion.com
- investopedia.com
- money.howstuffworks.com
- wikihow.com
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