Most money order sellers do not take credit cards directly, but you have workarounds
You cannot walk into a Western Union or MoneyGram location and hand over a credit card to buy a money order. Most money order issuers — including Western Union, MoneyGram, the U.S. Postal Service, and Walmart — require cash, debit card, or bank transfer. A few will accept a credit card online, but the fees and interest charges often make this expensive.
If you need to use a credit card, your realistic options are: buy a money order with a debit card instead, use a credit card to withdraw cash and then buy the money order, or pay the bill directly with your credit card if the recipient accepts it. Each route has different costs and timing.
Key Takeaways
- Western Union, MoneyGram, USPS, and Walmart do not accept credit cards in person for money orders, though some accept them online with higher fees.
- A debit card works at nearly all money order locations and costs less than using a credit card cash advance.
- Withdrawing cash from an ATM using your credit card and then buying a money order will cost you a cash advance fee plus interest, usually 3 to 5 percent of the amount.
- If the person you are paying accepts direct payment, using your credit card directly avoids the money order fee entirely.
Why money order sellers avoid credit cards
Money order issuers treat credit card purchases as high-risk transactions. When you buy a money order with a credit card, the issuer cannot verify that you actually have the funds — they only know you have access to a line of credit. If you dispute the charge later, the issuer absorbs the loss. For this reason, most locations straightforward refuse credit cards.
The few that do accept them online charge substantially more. Western Union's online platform, for example, allows credit card purchases but adds a processing fee on top of the money order fee itself. You end up paying 5 to 8 percent of the money order amount in fees alone, before any interest your credit card company charges.
Using a debit card instead
A debit card is the cheapest way to buy a money order if you do not have cash on hand. Debit cards are accepted at Western Union, MoneyGram, USPS, Walmart, and most banks. The money order fee is the same whether you use cash or debit — typically $1 to $5 depending on the amount and location — and there are no additional processing fees or interest charges.
If you have a debit card linked to your checking account, this is your fastest and least expensive option. You pay only the standard money order fee and nothing else.
Getting cash from your credit card to buy a money order
If you have no debit card and must use a credit card, you can withdraw cash from an ATM using a cash advance, then use that cash to buy the money order. This costs more than a debit card but may be necessary if it is your only option.
A cash advance typically charges a fee of 3 to 5 percent of the amount withdrawn, with a minimum of $2 to $10. You also begin paying interest when ready — usually 20 to 25 percent annually — with no grace period like you get on regular purchases. A $500 cash advance could cost you $15 to $25 in fees alone, plus interest that accrues daily.
For example, if you withdraw $500 and pay it back in 30 days, you might pay $15 in fees plus $20 in interest, totaling $35 extra. The money order fee itself ($2 to $5) is separate. This route makes sense only if you have no other way to access cash.
Paying the recipient directly with your credit card
Before you buy a money order at all, ask whether the person or business you are paying accepts credit cards directly. Many do — landlords, utilities, contractors, and government agencies often have online payment systems that take credit cards. If they do, you skip the money order fee entirely and pay only what you owe.
This is almost always cheaper than buying a money order, even if the recipient charges a small processing fee for credit card payments. A money order plus the cost of using a credit card to get cash usually exceeds any fee the recipient might charge.
Online money order services that accept credit cards
A few online services let you buy and send money orders with a credit card, though they are not the same as traditional money orders. Services like MoneyGram Online and Western Union Online accept credit cards but charge higher fees than in-person purchases and may take longer to deliver.
MoneyGram Online charges a credit card fee on top of the money order fee, and the total can reach 8 to 10 percent of the amount for smaller orders. Western Union Online has similar pricing. These services are useful if you cannot leave home or need to send money to someone without access to a physical location, but they are expensive compared to paying in person with cash or a debit card.
What happens if you dispute a money order bought with a credit card
If you buy a money order with a credit card and later dispute the charge, your credit card company will reverse the charge. However, the money order itself may already be cashed by the recipient. You could end up in a situation where your credit card company refunds you but the recipient has already received the funds, leaving you to recover the money from them directly.
For this reason, only buy a money order with a credit card if you trust the recipient and are certain the transaction is legitimate. If there is any doubt, use a method that lets you verify the recipient before the money is sent.
Frequently Asked Questions
Can I use a credit card at Walmart to buy a money order?
No. Walmart accepts cash and debit cards for money orders but not credit cards in person. You can use a credit card on Walmart.com to purchase a money order online, but this adds a processing fee to the standard money order cost.
Does the USPS take credit cards for money orders?
The USPS does not accept credit cards at post office locations. You can pay with cash, debit card, or a check. Some post offices may accept credit cards for online orders, but this varies by location.
What is the cheapest way to send money if I only have a credit card?
If the recipient accepts direct payment, pay them directly with your credit card and skip the money order entirely. If they do not, withdraw cash from an ATM using a credit card cash advance, then buy the money order with that cash. This costs less than buying a money order online with a credit card.
Will using a credit card to buy a money order hurt my credit score?
A cash advance will show up on your credit report and may lower your score slightly because it increases your credit utilization. The impact is usually small and temporary if you pay it back quickly, but it is worth avoiding if you have a debit card available.
Can I buy a money order with a prepaid credit card?
Most prepaid cards are treated like debit cards and are accepted at money order locations. Check with your prepaid card issuer to confirm, but most will work the same way a debit card does, with no additional fees beyond the standard money order cost.