Need to Pay for Something With a Money Order? Here's How to Fill One Out.

It seems like there are a million different ways to pay for things these days: Cash, credit cards, Cash App, Venmo. Even money orders. Which might not be the most popular way to go, but there may come a time when you need to rely on 'em. Like if your landlord requires one for a security deposit on your apartment. So we're breaking down everything you need to know about them, in case you need to buy and fill out a money order.

What is a money order?

Like a check, money orders are a form of paper payment. Except they give the payee direct access to cash vs having money come out of a banking account with a check. And money orders can be issued by a bank or credit union, Western Union, MoneyGram, or USPS.

Here's how they work: You purchase a money order with cash or a debit card (plus fees) for the amount you paid. (Sorry, credit cards generally aren't accepted to buy a money order.) Once you've got the money order, just give it to the person you're paying via a handoff, snail mail, or any other way. And they can cash it at their bank, credit union, or a check cashing store to get their money. Money orders also come with receipts, which you'll want to hold on to for record-keeping. Oh, and they also don't expire. Ever.

We know, money orders may sound old school and unnecessary in the 21st century. But there are a few instances where they might be the better way to pay. Like, if you don’t have checks for your bank account. Or if you don’t want the payee to have your banking info (hint: checks have your routing and account numbers listed on them).

I’m interested. Where can I get a money order?

At one of the tens of thousands of stores that offer them. Like your local post office, most banks and credit unions, and even Publix or Walmart. Usually for less than $5.

Can you tell me how to fill out a money order?

Money orders may look slightly different depending on where they're sold. But the steps to fill it out are the same:

• Payee: As soon as you purchase your money order, write the name of the person or business you’re paying on the ‘pay to’ line. Be sure this part is correct. Otherwise, the money order could be rejected. PS: Losing a blank money order means anyone (including a fraudster) can cash it. Which is why it’s important to fill in this info ASAP.

• Purchaser’s address: Write your full address on this line. Just in case the payee needs to contact you about the money order.

• Memo: This is optional, but it’s a good idea to write the purpose of the payment on this line to help the payee with recordkeeping. Example: Is this money order tied to your rent payment for a specific month or account number for a utility bill?

• Signature: Sign this line to seal the deal on your payment.

Heads up: If you make a mistake while filling out the money order, you’ll need to head back to the location where you bought it and ask for a new money order or refund.

How does money order tracking work?

Another reason why it’s important to keep the receipt: You’ll need the info from it to track the status of the money order. And since it isn’t linked to a specific bank account like a check, you’d have to contact the issuer of the money order to see if it’s been cashed. The process will take some time and may cost you a fee. Usually between $6 and $30, depending on the issuer.

theSkimm

Checks aren’t your only option when it comes to paper forms of payment. Not only will opting for a money order protect your account info, but it comes with convenience, too. Just remember to complete it immediately and correctly…and hang on to your receipts.