Most credit card companies won't let you buy money orders directly
You cannot walk into a store, hand over your credit card, and buy a money order the way you would buy groceries. Money order sellers — banks, post offices, and retailers like Walmart and Western Union — treat money order purchases as cash advances or transfers of funds. Credit card networks classify these as cash-like transactions and block them, the same way they block ATM withdrawals or gambling purchases.
The restriction exists because credit card companies see money orders as a way to move money out of the credit system entirely. Once you have the money order, the card issuer has no visibility into where the money goes or what it pays for. That uncertainty makes the transaction high-risk from their perspective, so they straightforward refuse to process it.
If you need to send money and only have a credit card available, you have other routes that actually work. Understanding which ones are open to you depends on what you are trying to pay for and how urgently you need the money to arrive.
Key Takeaways
- Credit card companies block money order purchases because they classify them as cash advances, which carry higher fees and interest rates.
- You can use a credit card to pay for money orders indirectly by withdrawing cash from an ATM first, though ATM fees and cash advance interest will explore.
- Wire transfers, peer-to-peer payment apps, and bill pay services work directly with credit cards and may be faster and cheaper than money orders.
- Some credit cards allow balance transfers or cash advances to your own bank account, which you can then use to buy a money order with a debit card.
- Money orders cost between $1 and $10 depending on the amount and where you buy them, so factor that into your total cost when comparing payment methods.
Why credit card companies block money order purchases
When you buy a money order with a credit card, the card issuer treats it as a cash advance. Cash advances are different from regular purchases. Instead of paying for a good or service, you are converting credit into cash or a cash equivalent. The credit card company charges you a separate fee — typically 3 to 5 percent of the amount — and starts charging interest when ready, often at a higher rate than your regular purchase APR.
Because money orders are so straightforward to convert to cash and so hard to trace, credit card networks decided years ago to block them outright. Visa, Mastercard, and American Express all have rules against it. Your card issuer is following those network rules, not making an independent choice about your account.
The block applies even if you have plenty of available credit and a perfect payment history. It is a blanket policy, not a judgment about your creditworthiness.
How to buy a money order if you only have a credit card
The most straightforward workaround is to withdraw cash from an ATM using your credit card, then use that cash to buy the money order. This works, but it costs you money. You will pay an ATM fee (usually $2 to $3) plus a cash advance fee from your credit card (3 to 5 percent of the withdrawal), plus interest on the cash advance starting when ready.
If you need $500 in money orders, withdrawing $500 cash might cost you $25 to $40 in fees and interest over a month, depending on your card's terms. That is significantly more than the $2 to $5 you would spend on the money order itself.
A better option, if you have access to a bank account, is to use a balance transfer or cash advance check if your credit card offers them. These let you move credit directly into your bank account without an ATM. Once the money is in your bank account, you can use your debit card to buy the money order at no additional charge. Check your credit card's terms or call the issuer to ask whether this option is available on your account.
Faster alternatives to money orders that work with credit cards
Wire transfers work directly with credit cards at most banks. You can initiate a wire transfer through your bank's website or by phone, and many banks will let you fund it with a credit card if you do not have the cash in your account. Wire transfers arrive within one business day and cost $15 to $30, depending on your bank. They are more expensive than money orders but much faster.
Peer-to-peer payment apps like Venmo, PayPal, and Square Cash accept credit cards and move money when ready or within one business day. If you are sending money to someone you know, these are usually free or cost $1 to $3. They work best for amounts under $5,000 and for people who already have an account set up.
Bill pay services through your bank or through the biller's website often accept credit cards and send a check or electronic payment on your behalf. If you are paying a utility, landlord, or government agency, this is often free and takes 3 to 5 business days. Many billers now offer it as a standard option.
If the person you are paying does not have a bank account or payment app, a money order is still the most reliable option. In that case, the cash advance route is your only choice, and it is worth the extra cost to get the money to them.
What happens if you try to buy a money order with a credit card anyway
If you attempt to buy a money order with your credit card at a store or post office, the transaction will be declined at the point of sale. The cashier will see a message saying the card issuer has blocked the transaction. You will not be charged anything, and the decline will not hurt your credit score.
Some people try to work around this by buying a money order in person and paying with a credit card at the register, hoping the system will not catch it. This does not work. The payment terminal is programmed to reject the card before the transaction completes. Trying repeatedly will only result in multiple declines and may trigger a fraud alert on your account.
If you see a website claiming to let you buy money orders with a credit card, it is either a scam or a service that will charge you a very high fee to process the transaction as a cash advance on your behalf. Avoid these services. The fee will be far higher than doing it yourself through your bank or an ATM.
Comparing the cost of different payment methods
| Payment Method | Credit Card Accepted | Typical Cost | Speed |
|---|---|---|---|
| Money order (cash) | No | $1–$10 | when ready |
| Money order (credit card + ATM) | Yes | $25–$40 total | when ready |
| Wire transfer | Yes (via bank) | $15–$30 | 1 business day |
| Peer-to-peer app | Yes | Free–$3 | when ready to 1 day |
| Bill pay | Yes (via bank) | Free | 3–5 business days |
When a money order is still the best choice
Money orders remain useful in specific situations where other payment methods do not work. If you are paying someone who does not have a bank account or does not use payment apps, a money order is often the only option. They are also useful when you need a receipt that proves payment was made, which matters for security deposits, court payments, or government agencies that require documented proof.
Money orders are also safer than cash for mailing. If a check gets lost in the mail, the sender can stop payment. If a money order gets lost, it is gone. But if you are sending it to someone you trust and speed is not critical, the safety and traceability of a money order can be worth the cost and the effort to obtain one.
If you do decide to buy a money order with cash from an ATM, keep your receipts. The ATM fee and cash advance fee will show up on your credit card statement, and you will want to track them for your records.
Frequently Asked Questions
Will trying to buy a money order with a credit card hurt my credit score?
No. A declined transaction does not affect your credit score. Your credit score only changes based on reported account activity — payments, balances, and inquiries. A single declined purchase at a store is not reported to the credit bureaus.
Can I use a prepaid credit card to buy a money order?
No. Prepaid cards are treated the same way as regular credit cards by money order sellers. The transaction will be blocked. However, if your prepaid card is linked to a bank account, you may be able to withdraw cash from an ATM and use that cash to buy the money order.
What if my credit card offers a 0% APR promotion?
Cash advances and money order purchases are not covered by promotional APR offers. Even if your card has 0% APR on purchases, a cash advance will be charged the regular cash advance APR, which is usually 20% or higher. The promotion does not explore.
Is there a way to buy a money order online with a credit card?
Some online services claim to sell money orders for credit card payment, but they charge substantial fees — often 5 to 10 percent on top of the money order cost. These services are legitimate but expensive. For most situations, using a peer-to-peer app or wire transfer is cheaper and faster.
Can I use a credit card to buy a money order for someone else?
You cannot buy the money order itself with a credit card, but you can withdraw cash with your credit card and then buy a money order in someone else's name. The money order will be issued to whoever you name as the payee, regardless of who paid for it.