Most places won't sell you a money order with a credit card directly
You cannot walk into a Western Union, MoneyGram, or post office and hand over a credit card to buy a money order. These services treat credit cards as cash advances — a transaction type they straightforward do not process. If you try, you will be told no.
The workaround exists, but it adds a step and a fee. You use your credit card to withdraw cash from an ATM or get cash back at a store, then use that cash to buy the money order. This turns the credit card into a cash advance, which your card issuer will charge you interest on when ready — there is no grace period like there is for purchases.
Before you go this route, understand what it costs. A typical cash advance fee runs 3 to 5 percent of the amount withdrawn, plus daily interest starting the moment you take the cash. A $500 money order could cost you $15 to $25 just to get the cash, plus interest accruing every day until you pay the balance.
Key Takeaways
- Money order sellers — Western Union, MoneyGram, the post office — do not accept credit cards as payment, only cash or debit cards.
- To use a credit card, you must first withdraw cash using an ATM or store cash back, which your card treats as a cash advance with when ready interest charges.
- Cash advances carry a separate fee (usually 3 to 5 percent) and start accruing interest right away, making them expensive for short-term use.
- A debit card, if you have one, is a cheaper way to buy a money order because it does not trigger a cash advance fee or interest.
- If you need a money order but do not have cash or a debit card, a personal loan or credit line may cost less than a cash advance.
Why money order sellers reject credit cards
Money order companies and the post office treat a credit card purchase as a cash advance, not a regular transaction. Cash advances are high-risk for the card issuer because they are unsecured borrowing — you are taking money out of the system rather than buying something the issuer can repossess if you do not pay. Card networks and issuers have built in safeguards to limit this risk.
The result is that most money order sellers straightforward do not have the ability to process credit cards for cash advances. Their payment terminals are set up to accept cash and debit cards only. Even if you ask a manager, they cannot override this — it is a limitation of their system, not a policy choice.
Some online money order services (which are rare and usually more expensive) may accept credit cards, but they are the exception. Your best bet is to assume the answer is no and plan accordingly.
The real cost of getting cash to buy a money order
If you withdraw $500 in cash using your credit card, here is what happens. Your card issuer charges you a cash advance fee — typically 3 to 5 percent, so $15 to $25. That fee is added to your balance when ready. Then, starting that same day, interest accrues on the full $500 at your card's cash advance rate, which is usually higher than your purchase rate.
If you pay back the $500 within a week, you might pay $5 to $10 in interest on top of the $15 to $25 fee. If it takes you a month, the interest alone could be $20 or more. A money order itself costs $1 to $3, so your total cost to send $500 could be $40 to $60 — roughly 8 to 12 percent of the amount you are sending.
Compare this to a debit card, which has no cash advance fee and no interest. If you have a debit card, use it instead. If you do not have a debit card but have a bank account, you can open one — most banks offer them free.
Where to get cash without a credit card cash advance
If you need cash to buy a money order and a credit card cash advance is too expensive, consider these alternatives. Many grocery stores, pharmacies, and retailers offer cash back when you use a debit card at checkout — no fee, no interest. If you do not have a debit card, ask your bank whether you can withdraw cash directly from a teller using your account number and ID.
If you need the money order urgently and have no other way to get cash, a short-term personal loan from a credit union or online lender may cost less than a credit card cash advance. Credit unions often offer small loans at lower rates than card cash advances. Online lenders vary widely, so compare the total cost — fee plus interest — before you borrow.
A cash advance from your employer (if available) or a loan from a friend or family member are also cheaper than a credit card cash advance, though they come with their own complications.
How to buy a money order once you have cash
Once you have cash in hand, buying a money order is straightforward. You can go to Western Union, MoneyGram, the U.S. Postal Service, or many banks and credit unions. Tell the clerk how much you want the money order for — they will fill out the form with you. You provide the recipient's name and address, your name and address, and the amount. You pay the fee (usually $1 to $3 depending on the amount) plus the money order amount itself, in cash.
The clerk will give you the money order and a receipt. Keep the receipt until the recipient confirms they received and cashed it. If the money order is lost or stolen, the receipt is your proof of purchase.
Money orders typically take 1 to 3 business days to clear once the recipient deposits them, though some banks clear them faster.
When a money order makes sense despite the cost
A money order is useful when the person you are paying does not have a bank account or will not accept a personal check. Landlords often require money orders for security deposits. Some utilities and government agencies accept them. If you are sending money to someone you do not fully trust with your bank account number, a money order is safer than a check (which shows your account number) or a wire transfer (which is irreversible).
But if you are paying a business or someone with a bank account, ask whether they accept bank transfers, Venmo, PayPal, or checks instead. These are usually free or cheaper. A money order should be your last resort, not your first choice — and it should never be your first choice if you have to pay a credit card cash advance fee to get the cash.
Frequently Asked Questions
Can I use a credit card at a Western Union or MoneyGram location?
No. Western Union and MoneyGram do not accept credit cards for money order purchases. You must pay with cash or a debit card. Some locations may accept credit cards for other services like wire transfers, but not for money orders.
What if I use a prepaid credit card to buy a money order?
A prepaid card works like a debit card — you can use it to buy a money order directly without triggering a cash advance fee. If you have a prepaid card with a balance, this is a good option. If you need to load money onto the prepaid card using a credit card, that transaction may be treated as a cash advance depending on the prepaid card issuer.
Is there a way to avoid the cash advance fee?
Yes. Use a debit card, get cash back at a store checkout, withdraw cash from an ATM using your debit card, or borrow cash from someone else. All of these avoid the credit card cash advance fee. If you have no debit card, opening one at your bank is free and takes minutes.
How long does a money order take to clear?
Most money orders clear within 1 to 3 business days after the recipient deposits them. Some banks clear them faster, sometimes the same day. Ask the recipient to confirm when they deposit it so you know when to expect it to show up in their account.
What happens if a money order gets lost?
If you kept your receipt, you can contact the money order issuer (Western Union, MoneyGram, or the post office) and request a replacement or refund. Bring your receipt and ID. The process usually takes a few weeks. This is why keeping your receipt is important — without it, you have no proof you bought the money order.