Using a Credit Card to Buy a Money Order: What Works and What Doesn't

You can use a credit card to buy a money order, but most places won't let you

Most money order sellers — including the post office, Walmart, and Western Union — do not take credit cards as payment. They accept cash, debit cards, and sometimes checks, but charging a money order to a credit card is blocked at nearly every major retailer and financial institution. The few places that do accept credit cards for money orders charge extra fees on top of the money order cost itself, which makes the total expense higher than paying with cash or a debit card.

The reason for this restriction is straightforward: money orders are a way to send cash-like value to someone else. If credit card companies allowed you to buy money orders on credit, they would be letting you use borrowed money to send funds elsewhere — and the credit card company would have no way to recover that money if you didn't pay your bill. To protect themselves, card networks and money order sellers have built this barrier into their systems.

Key Takeaways

• The post office, Walmart, Western Union, and most other money order sellers do not accept credit cards, only cash and debit cards.
• A small number of online money order services will accept credit cards, but they charge additional fees that make the total cost significantly higher.
• If you need to send money and only have a credit card available, a peer-to-peer payment app like Venmo or PayPal is usually cheaper and faster than a money order.
• Some credit card issuers treat money order purchases as cash advances, which means you pay interest immediately and may face a separate cash advance fee.

Where you can and cannot use a credit card for a money order

The post office does not accept credit cards for money order purchases. You must pay with cash, a debit card, or a check. Walmart's money order service (available at customer service desks) also does not take credit cards — cash or debit only. Western Union, which sells money orders at thousands of locations, has the same policy: no credit cards.

A handful of online money order services, such as MoneyGram's online platform and some smaller digital money order providers, do accept credit cards. However, these services charge a credit card processing fee on top of the money order fee itself. For example, if a money order costs $1.50 and the credit card fee is 3 percent, you pay $1.50 plus roughly $0.05 in fees — a small amount, but it adds up if you buy multiple money orders.

Some banks and credit unions may allow you to buy a money order through their online banking portal using a credit card linked to your account, but this is rare and varies by institution. Call your bank directly to ask whether this option exists for your account.

Why credit card companies block money order purchases

Credit card networks and money order sellers treat money orders as a form of cash transfer. When you buy a money order, you are converting credit (or cash) into a financial instrument that can be sent to someone else or cashed out. If credit card companies allowed this, they would be funding cash-like transactions on borrowed money, which increases the risk that cardholders will not repay.

Additionally, money orders are often used in situations where the buyer wants to hide the transaction trail or avoid direct bank transfers — such as paying an unlicensed landlord, settling a dispute, or sending money across borders. Credit card companies and fraud prevention systems flag these patterns as higher-risk, so they restrict the ability to buy money orders on credit.

What happens if your card is charged for a money order

If you do manage to buy a money order with a credit card — either online or at a location that accepts them — your credit card company may classify the transaction as a cash advance rather than a regular purchase. A cash advance is when you use your credit card to get cash or cash-like value, and it comes with different terms than a normal purchase.

With a cash advance, you typically pay interest immediately, even if you normally have a grace period on purchases. You also pay a separate cash advance fee, which is often 3 to 5 percent of the amount. So if you buy a $500 money order on a cash advance, you might pay $15 to $25 in fees plus interest starting right away. This makes buying a money order on credit significantly more expensive than paying with cash or a debit card.

Check your credit card's terms and conditions or call the card issuer to find out whether they treat money order purchases as cash advances. Some cards do; others may decline the transaction entirely.

Cheaper alternatives to buying a money order with a credit card

If you need to send money and only have a credit card available, a peer-to-peer payment app is usually faster and cheaper. Apps like Venmo, PayPal, Square Cash, and Zelle let you send money directly to another person's bank account or phone number, and many of them do accept credit cards as the funding source. There is no money order fee, and the transaction is instant or arrives within one business day.

The catch is that the recipient must have a bank account or be set up on the same app. If you need to send money to someone without a bank account or who cannot use a payment app, a money order is still the right tool — but you should pay for it with cash or a debit card to avoid the extra fees and interest charges.

If you do not have cash or a debit card on hand, consider visiting an ATM to withdraw cash using your credit card. You will pay a cash advance fee, but it is often lower than the combined cost of a money order fee plus credit card fees plus interest. Once you have cash, you can buy the money order at any post office, Walmart, or Western Union location without additional charges.

How to buy a money order without a credit card

The simplest way to buy a money order is to pay with cash at the post office or Walmart. Walk in, tell the clerk you want a money order, provide the recipient's name and the amount, and pay with bills or coins. The transaction takes a few minutes and costs between $1 and $5 depending on the amount.

If you have a debit card, you can use it the same way — the clerk will swipe or insert your card just like at any other store. Debit card payments are treated as regular purchases, not cash advances, so there are no extra fees beyond the money order cost itself.

Some banks and credit unions allow customers to order money orders online and pick them up in person, or to have them mailed directly. This option is worth checking with your bank if you want to avoid going to a retail location.

Frequently Asked Questions

Will the post office let me buy a money order with a credit card?

No. The post office only accepts cash, debit cards, and checks for money order purchases. If you only have a credit card, you will need to withdraw cash from an ATM first or use a different payment method.

Can I use a credit card to buy a money order online?

Some online money order services accept credit cards, but they charge an additional processing fee on top of the money order cost. It is usually cheaper to use a debit card or to pay with cash at a physical location like Walmart or the post office.

What is a cash advance, and why does it matter for money orders?

A cash advance is when you use a credit card to get cash or cash-like value. It comes with immediate interest charges and a separate fee, usually 3 to 5 percent. If your credit card company treats a money order purchase as a cash advance, you will pay significantly more than if you paid with cash or a debit card.

Is it cheaper to send money through Venmo or PayPal instead of a money order?

Yes, if the recipient has a bank account or is set up on the same app. Peer-to-peer payment apps are free or low-cost and do not require a trip to a store. Money orders are only necessary when sending money to someone without a bank account or when the recipient specifically requests one.

Can I withdraw cash with my credit card to buy a money order?

Yes, you can use an ATM to withdraw cash with a credit card, though you will pay a cash advance fee. Once you have cash, you can buy a money order at the post office, Walmart, or Western Union without any additional charges beyond the money order fee itself.