Buying a Money Order With a Credit Card: What Works and What Doesn't

Most places won't let you buy a money order with a credit card

The short answer is no — not at most places. Money order sellers like Western Union, MoneyGram, the U.S. Postal Service, and grocery store money order counters almost never accept credit cards for the money order itself. They accept cash, debit cards, and sometimes bank transfers, but credit cards are off the table.

The reason is simple: money orders are meant to be a safe way to send money when the recipient doesn't trust a personal check. If you could charge a money order to a credit card, the seller would be taking on the risk that you might dispute the charge later. That risk is too high for them, so they've built their systems to block it.

That said, there are a couple of workarounds if you really need to use a credit card to fund a money order. They involve extra steps and sometimes extra fees, but they exist.

Key Takeaways

• Western Union, MoneyGram, the U.S. Postal Service, and most retail money order counters do not accept credit cards to purchase money orders directly.
• You can use a credit card to withdraw cash from an ATM, then use that cash to buy a money order, though ATM cash advances usually charge a fee.
• Some banks and credit unions let you transfer money from a credit card to a linked checking account, which you can then use to buy a money order.
• A debit card, which draws directly from your bank account, is the fastest and cheapest way to buy a money order if you have one.
• Money order fees range from about $1 to $5 depending on the amount and the seller, and this fee is separate from any credit card fees you might pay.

Using a credit card cash advance to fund a money order

The most straightforward workaround is to use your credit card to get cash, then buy the money order with that cash. You do this by going to an ATM, inserting your credit card, and withdrawing cash as a cash advance. Once you have the cash, you can walk into any money order location and pay with it.

The catch is that cash advances are expensive. Your credit card company charges a fee — usually 3 to 5 percent of the amount you withdraw, with a minimum fee of $5 or $10. So if you withdraw $200 to buy a $200 money order, you might pay $6 to $10 just for the cash advance, on top of the money order fee itself (which is usually $1 to $3). You're also charged interest on the cash advance immediately, not at the end of your billing cycle like regular purchases.

This method works if you have no other option, but it's the most expensive route. Check your credit card's terms to see what the cash advance fee and interest rate are before you do this.

Transferring credit card funds to your checking account

Some banks and credit unions offer a service called a balance transfer or a direct transfer from a credit card to a linked checking account. This is different from a cash advance — you're moving money into your bank account rather than withdrawing physical cash. Once the money is in your checking account, you can use your debit card or a check to buy the money order.

Not all banks offer this, and not all credit cards work with it. You'll need to call your bank or credit card company and ask whether they support transfers from your specific credit card to your checking account. If they do, ask about fees — some charge a flat fee, some charge a percentage, and some don't charge anything.

This method is usually cheaper than a cash advance if your bank doesn't charge a fee, but it takes a day or two for the money to show up in your account. If you need the money order today, this won't work.

Why a debit card is the easiest option

If you have a debit card linked to a checking account, that's your best bet. Every money order seller accepts debit cards, the transaction is instant, and there's no extra fee beyond the money order fee itself. You just swipe or insert your debit card the same way you would at a grocery store.

If you don't have a debit card but you have a credit card, opening a basic checking account at a bank or credit union takes about 15 minutes online or in person, and they'll issue you a debit card. This is faster and cheaper than either of the credit card workarounds above.

Money order fees and limits you should know

Money order fees vary by seller and by the amount you're sending. The U.S. Postal Service charges about $1.45 for a money order up to $500 and $1.95 for $500 to $1,000. Western Union and MoneyGram charge more — usually $2 to $5 depending on the amount. Grocery stores and Walmart typically charge $0.70 to $1.50.

Most sellers cap the amount you can buy in a single money order at $1,000. If you need to send more than that, you'll have to buy multiple money orders. There's no limit on how many you can buy in a day, but if you're buying a very large number, the seller might ask questions or require you to fill out extra paperwork.

What happens if you try to use a credit card anyway

If you walk up to a money order counter and try to pay with a credit card, the terminal will simply decline it. The seller's system is programmed to reject credit cards. You won't be charged, and nothing goes on your credit report — the transaction just won't go through. At that point, you'll need to either pay with cash, a debit card, or a check, or you'll need to come back after you've gotten cash another way.

Some online money order services do accept credit cards, but these are not the same as traditional money orders. They're more like bill payment services or peer-to-peer transfers. If you're buying a money order to pay a specific bill or send to a specific person, check whether they'll accept a direct payment or transfer instead of requiring a physical money order.

Alternatives to money orders when you have only a credit card

If you're trying to pay a bill and you have a credit card but no way to get a money order, ask the biller whether they accept credit card payments directly. Most utilities, landlords, and government agencies have a phone number or website where you can pay with a credit card. You'll usually pay a processing fee (2 to 3 percent), but it's often cheaper than the combined cost of a cash advance plus a money order fee.

If you're sending money to a person rather than paying a bill, consider a peer-to-peer payment app like Venmo, PayPal, or Cash App. These let you send money directly from a credit card to another person's account, and many don't charge a fee if you link a bank account instead. This is faster than a money order and doesn't require you to leave your house.

Frequently Asked Questions

Can I buy a money order online with a credit card?

Traditional money orders (from the post office, Western Union, or MoneyGram) cannot be purchased online with a credit card. Some online bill payment services call themselves "money orders" but they're actually electronic transfers. If you need a physical money order, you have to buy it in person with cash or a debit card.

Does using a credit card cash advance to buy a money order hurt my credit score?

A cash advance itself doesn't hurt your credit score, but it does increase your credit utilization (the percentage of your available credit you're using), which can lower your score slightly. The bigger issue is the high interest rate and fees — you'll pay much more in charges than you would with other payment methods.

What if my bank won't let me transfer money from my credit card to my checking account?

Not all banks offer this service. If yours doesn't, your options are a cash advance from an ATM or opening a basic checking account at a different bank to get a debit card. A debit card is the cheapest and fastest way to buy a money order.

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

Most prepaid cards work like debit cards and are accepted at money order counters. However, some prepaid cards are branded as credit cards and may be rejected. Call the money order seller or check their website to confirm they accept your specific prepaid card before you go in.

Is there a limit to how much I can spend on a money order?

Most sellers cap individual money orders at $1,000. If you need to send more, you can buy multiple money orders. There's no daily limit on how many you can purchase, though very large purchases might trigger extra questions from the seller.