How to fill out a money order? Filling out a money order is similar to writing a check. Each money order issuer is slightly different (USPS and Western Union money orders are in a different format), but there are four basic steps to completing a money order.
The amount of your money order must be printed on the document when you purchase the money order, so you do not need to fill in that information.
How to Fill Out a Money Order 2020?
Enter the Beneficiary’s Details: write the name of the person or company that pays with the money order.
This section may be labeled “Pay to order from” or “Beneficiary“. Avoid making money orders payable in cash as you risk losing funds if they are lost or stolen.
Address Details: Some money orders have space for you to provide your postal address. This allows the recipient to contact you with any questions or problems that arise with your payment.
However, if you are concerned about your privacy, you may be able to leave this information in circulation; just ask the money order issuer and recipient what is required.
For USPS money orders, the address section on the left is for the recipient’s address (other money orders usually use this space for your address), so you have room for both addresses.
Additional Details: You may need to include additional information on your money order for payment to be handled correctly. For example, it may be helpful to write your account number, order or transaction details, or any other notes that help the recipient determine where the payment came from.
This section can be labeled “Re:” or “Memo”. If there is no space for additional information, simply write it somewhere in the front of the document.
Signature: Some turns require a signature and others do not. Look for a section marked “Signature,” “Buyer,” or “Drawer” on the front of the document.
Do not sign the back of the document; This is where the recipient will approve the money order.
After completing your money order, hang on to the receipts, paper copies, and other documents you received when purchasing the money order. You may need these if there is a problem with your payment. They will allow you to cancel the money order if necessary and can be helpful in tracking or confirming payment.
Why use money orders?
For buyers: money orders are a safe way to pay. Instead of sending cash through the mail (which is never a good idea), you can send a document that can be tracked and can only be collected by the recipient. Compared to checks, money orders help you keep certain information private (such as your bank account numbers, address, and even your name), however, there are drawbacks to using money orders, see below.
For sellers: money orders are (generally) a secure form of payment. Buyers must use equivalent cash to buy the instrument, so it cannot bounce like a personal check. However, money orders are sometimes counterfeited and used in common online scams, so it’s best to make sure they really are clear before you spend the money.
If money orders are new to you, learn how they work (and how they don’t) by reading the Basics of Money Orders.
Do you need to buy a money order? See where you can get one. They cost about a dollar at most retailers, but you’ll pay a little more at your bank or credit union.
Disadvantages of money orders
While money orders are popular and inexpensive, there are a few drawbacks. Fortunately, there could be other ways to pay.
For large purchases (which may require the use of multiple money orders and the payment of applicable fees), a cashier’s check may meet your needs.
Also, money orders are not a substitute for a bank account. Life is so much easier (and less expensive) if you have an account to store money for expenses, plus you can write checks or use your debit card instead of requesting a money order every time you need to make a payment.
If you can’t get a checking account for some reason, you may find that a prepaid card is a good step in the right direction (but you still need to work towards a full bank account in the future).