Most places will not sell you a money order with a credit card
Money orders are sold by banks, post offices, grocery stores, and check-cashing services. Nearly all of them accept cash or a debit card, but credit cards are rarely an option. The few places that do accept credit cards usually charge an extra fee on top of the money order cost — often 3 to 5 percent — which makes the transaction expensive compared to paying cash.
The reason is straightforward: money orders are meant to be a low-cost way to send money safely. A credit card transaction adds processing fees that the seller has to absorb or pass on to you. Most sellers choose not to offer it rather than raise the price for everyone.
Key Takeaways
- Credit cards are almost never accepted for money order purchases at banks, post offices, or grocery stores.
- A few online money order services and specialty retailers may accept credit cards, but they charge an extra fee of 3 to 5 percent.
- Debit cards, cash, and bank transfers are the cheapest ways to pay for a money order.
- If you need to use a credit card, a cash advance from an ATM followed by a cash purchase is usually cheaper than the credit card fee.
Where you might find credit card acceptance
Some online money order services will accept credit cards, though they are less common than in-person sellers. Services like MoneyGram and Western Union have online platforms that may allow credit card payment, but the fee structure varies by service and location. You would need to check their website or call to confirm whether credit cards are accepted for your specific transaction.
A small number of grocery stores and pharmacies with their own financial services may accept credit cards, but this is not standard. Walmart, for example, does not accept credit cards for money orders at most locations, though policies can vary by store. Your best approach is to call ahead or ask at the counter before you go.
Why the fee matters more than you might think
A standard money order costs between $1 and $5 depending on the amount and where you buy it. A 3 to 5 percent credit card fee on a $500 money order adds $15 to $25 to your cost. That is significantly more than the money order itself.
If you are considering a credit card payment because you do not have cash or a debit card available, a credit card cash advance is often cheaper. Most credit cards charge a cash advance fee of 3 to 5 percent as well, but you pay it once and then use the cash to buy the money order at the standard price. The total cost is the same, but you have more control over where you buy the money order.
Alternatives that cost less
A debit card is accepted almost everywhere that sells money orders and costs nothing extra. If you have a bank account, this is the simplest route. You can also withdraw cash from an ATM and pay in cash, which avoids any card fees entirely.
A bank transfer or wire transfer may be an option if the person receiving the money has a bank account. These are faster than a money order and often cost less, especially for larger amounts. Ask your bank what they charge for a wire transfer to the recipient's bank.
If you need a money order but do not have when ready access to cash or a debit card, waiting until you do is usually cheaper than paying a credit card fee. Money orders do not expire, so there is no rush.
What happens if you use a credit card anyway
If you do find a place that accepts credit cards for money orders, the transaction will show up on your credit card statement as a purchase, not a cash advance. This means you will not pay the higher cash advance interest rate, but you will pay the seller's credit card fee upfront.
The money order itself works the same way whether you paid with cash, a debit card, or a credit card. The recipient will not know how you paid for it. The only difference is what you paid to get it.
How to find a money order seller near you
The US Postal Service sells money orders at post offices nationwide. Call your local branch or check their website to confirm hours and whether they accept the payment method you plan to use.
Banks and credit unions sell money orders to customers and sometimes to non-customers. Call ahead to ask about payment methods and fees.
Grocery stores, Walmart, and check-cashing services sell money orders in most neighborhoods. Fees vary by location and amount, so it is worth calling a few places to compare before you go.
Frequently Asked Questions
Can I use a credit card to buy a money order online?
Some online money order services accept credit cards, but most charge a fee of 3 to 5 percent on top of the money order cost. Check the service's website or call them to confirm whether they accept credit cards and what the fee is before you proceed.
Is a credit card cash advance cheaper than paying a credit card fee for a money order?
Usually they cost about the same — both typically charge 3 to 5 percent. A cash advance gives you more flexibility because you can shop around for the cheapest money order seller, whereas a credit card fee is set by the seller.
What if I do not have a debit card or cash?
A credit card cash advance is your most direct option, though it costs money. Alternatively, ask a friend or family member to buy the money order for you and pay them back, or wait until you can withdraw cash from an ATM.
Do money orders expire if I buy one but do not use it right away?
No. Money orders do not expire. You can hold onto one for as long as you need before sending it or cashing it. This means there is no time pressure to buy one with a credit card if a cheaper payment method is available.
Will buying a money order with a credit card affect my credit score?
A money order purchase shows up as a regular purchase on your credit card statement and does not directly affect your credit score. However, if the purchase increases your credit utilization ratio significantly, it could have a small impact on your score.