Can A Money Order Be Cashed? A Comprehensive Guide

Can A Money Order Be Cashed? Absolutely, a money order can be cashed, providing a secure and verifiable method for transferring funds, as explained here at money-central.com. This financial instrument acts as a substitute for cash or a personal check, offering a reliable way to make payments, particularly when dealing with individuals or businesses that do not accept personal checks or credit cards; learn about money order alternatives and financial planning tips. This article will explore the ins and outs of cashing a money order, addressing common questions and concerns.

1. What is a Money Order and How Does It Work?

A money order is a prepaid payment order for a specific amount. It’s a secure alternative to cash or personal checks, offering a reliable method for sending money. Money orders are widely used by individuals who may not have a bank account or prefer not to use personal checks.

How Money Orders Work:

Purchase: You buy a money order from a bank, credit union, post office, or retail store.
Payment: You pay the face value of the money order plus a small fee.
Recipient: You fill out the money order with the recipient’s name and your information.
Cashing/Depositing: The recipient can then cash or deposit the money order at a bank, credit union, or other authorized location.

Money orders are popular because they offer a safe way to send money, as they can be tracked and replaced if lost or stolen.

2. Where Can You Cash a Money Order?

Cashing a money order is a straightforward process, but knowing where to go can save you time and hassle. Here are some of the most common places where you can cash a money order:

2.1. Banks and Credit Unions

Banks and credit unions are the most reliable places to cash a money order, particularly if you are already a customer. Here’s what you need to know:

For Customers: If you have an account with a bank or credit union, cashing a money order is usually free or has a minimal fee. You can simply endorse the money order and deposit it into your account.
For Non-Customers: Some banks and credit unions may cash money orders for non-customers, but they typically charge a higher fee. Be prepared to provide identification and possibly additional information.

Banks like Chase, Bank of America, and Wells Fargo are common choices, but smaller, local credit unions often offer better rates and more personalized service.

2.2. United States Postal Service (USPS)

The USPS is a convenient option for cashing money orders, especially if you purchased the money order there. Here’s how it works:

Availability: Most post office locations offer money order cashing services.
Fees: The fees are generally competitive, though they can vary by location.
Requirements: You will need to present a valid photo ID, such as a driver’s license or passport.
Limits: There may be limits on the amount you can cash in a single transaction, so check with your local post office beforehand.

Cashing a money order at the post office is particularly useful if you need the cash immediately and don’t have a bank account.

2.3. Retail Stores

Many retail stores, particularly those that offer financial services, will cash money orders. Here are a few popular options:

Walmart: Walmart is a popular choice due to its widespread locations and extended hours. They typically charge a fee for cashing money orders.
Kroger: If you live near a Kroger grocery store, you may be able to cash a money order there. Fees and limits vary by location.
Other Retailers: Stores like CVS, Walgreens, and some gas stations may also offer money order cashing services. Check with your local store for availability and fees.

Retail stores can be a convenient option if you need to cash a money order outside of regular banking hours.

2.4. Check Cashing Stores

Check cashing stores specialize in cashing various types of checks, including money orders. However, be aware that these stores often charge higher fees compared to banks or post offices.

Convenience: Check cashing stores are typically open longer hours and may be more accessible than banks, especially in urban areas.
Fees: Expect to pay a percentage of the money order’s value as a fee.
Regulation: Ensure the check cashing store is licensed and regulated to avoid potential scams or unfair practices.

Before using a check cashing store, compare the fees with other options to ensure you’re getting the best deal.

Summary Table: Where to Cash a Money Order

Location	Fees	Convenience	Requirements
Banks/Credit Unions	Low (often free)	High for customers	Account, ID
USPS	Moderate	High	ID, may have limits
Retail Stores (Walmart)	Moderate	High	ID, varies by store
Check Cashing Stores	High	High	ID, may require additional documentation

Alt text: Cashing a money order at a bank with a teller verifying identification.

3. What Do You Need to Cash a Money Order?

Cashing a money order requires you to provide certain information and documentation to verify your identity and ensure the transaction is legitimate. Here’s a detailed look at what you typically need:

3.1. Valid Photo Identification

A valid photo ID is the most crucial requirement when cashing a money order. The ID must be current and government-issued. Acceptable forms of identification usually include:

Driver’s License: A state-issued driver’s license is widely accepted.
Passport: A valid passport is also a reliable form of identification.
State Identification Card: If you don’t drive, a state-issued ID card works just as well.
Military ID: Active or retired military personnel can use their military ID.

The ID is used to confirm your identity and prevent fraud, so make sure it is not expired and that the photo is clear.

3.2. The Money Order

Of course, you’ll need the money order itself. Make sure it is properly filled out and endorsed:

Payee Information: Ensure your name is correctly written as the payee (the person to whom the money order is made out).
Endorsement: Sign the back of the money order in the designated area. Do this only when you are at the cashing location, as signing it beforehand could make it easier for someone else to cash it if it gets lost or stolen.
No Alterations: The money order should be free of any alterations, erasures, or signs of tampering. Any discrepancies could cause the money order to be rejected.

3.3. Proof of Address (Sometimes Required)

In some cases, particularly if you are not a customer of the bank or credit union, you may be asked to provide proof of address. This can be:

Utility Bill: A recent utility bill (such as water, gas, or electricity) with your name and address.
Bank Statement: A bank statement showing your current address.
Lease Agreement: A copy of your lease agreement.

Proof of address helps to further verify your identity and ensures that the cashing location can contact you if necessary.

3.4. Social Security Number (Potentially)

While not always required, some institutions may ask for your Social Security Number (SSN) for tax reporting purposes, especially if the amount is large. Be cautious about providing your SSN and ask why it is needed. If you are uncomfortable, you can inquire whether there are alternative ways to verify your identity.

3.5. Account Information (If Depositing)

If you plan to deposit the money order into your bank account, you will need your account information, such as:

Account Number: The specific account number where you want to deposit the funds.
Routing Number: The routing number of your bank.

Having this information readily available will streamline the deposit process.

3.6. Fees

Be prepared to pay a fee for cashing the money order, especially if you are not a customer of the bank or credit union. Fees can vary widely, so it’s a good idea to ask about them beforehand. Some locations may waive the fee if you open an account or meet certain criteria.

Summary Checklist: What You Need to Cash a Money Order

[ ] Valid Photo ID (Driver’s License, Passport, State ID)
[ ] The Money Order (Properly Filled Out and Endorsed)
[ ] Proof of Address (If Required)
[ ] Social Security Number (Potentially)
[ ] Account Information (If Depositing)
[ ] Funds to Cover Any Fees

By having all these items ready, you can make the process of cashing a money order smooth and efficient.

4. How to Fill Out a Money Order Correctly?

Filling out a money order correctly is crucial to ensure that the payment reaches the intended recipient without any issues. Here’s a step-by-step guide on how to properly complete a money order:

4.1. “Pay To” or “Payee” Line

What to Do: Write the full name of the person or company you are paying on the “Pay To” or “Payee” line.
Why: This specifies who is authorized to cash or deposit the money order.
Example: If you’re paying “John Doe,” write “John Doe” on this line. If paying a company like “ABC Corp,” write “ABC Corp.”
Important: Be as accurate as possible. Double-check the spelling to avoid any discrepancies.

4.2. “Address” Line

What to Do: Write the address of the payee (the person or company you are paying) on the “Address” line.
Why: This provides additional identification for the payee and can be useful if there are multiple people with the same name.
Example: If John Doe’s address is “123 Main Street, Anytown, USA,” write that on this line.
Important: Include the street number, street name, city, state, and ZIP code.

4.3. “From” or “Purchaser” Line

What to Do: Write your full name on the “From” or “Purchaser” line. This indicates who purchased the money order.
Why: This helps the payee identify who sent the money.
Example: If your name is “Jane Smith,” write “Jane Smith” on this line.
Important: Use your legal name for consistency.

4.4. “Address” Line (Your Address)

What to Do: Write your full address on the “Address” line below the “From” or “Purchaser” line.
Why: This provides your contact information in case the payee needs to reach you or if there are any issues with the money order.
Example: If your address is “456 Oak Avenue, Anytown, USA,” write that on this line.
Important: Ensure your address is current and accurate.

4.5. “Memo” or “For” Line

What to Do: Use the “Memo” or “For” line to indicate the purpose of the payment.
Why: This helps both you and the payee keep track of what the money order is for.
Example: If you’re paying rent, write “Rent for July” on this line. If you’re paying for a service, write “Payment for Services.”
Important: Be specific and clear. This can be helpful for record-keeping.

4.6. “Signature” Line

What to Do: Sign your name on the “Signature” line.
Why: This validates the money order and confirms that you are authorizing the payment.
Example: Sign your name as you normally would.
Important: Only sign the money order when you are ready to send it.

4.7. Keep Your Receipt

What to Do: Keep the receipt that comes with the money order in a safe place.
Why: The receipt is your proof of purchase and contains information needed to track or replace the money order if it gets lost or stolen.
Important: Do not discard the receipt until you are sure the money order has been successfully cashed or deposited by the payee.

Summary Checklist: How to Fill Out a Money Order

[ ] “Pay To” or “Payee” Line: Write the full name of the person or company you are paying.
[ ] “Address” Line (Payee): Write the address of the payee.
[ ] “From” or “Purchaser” Line: Write your full name.
[ ] “Address” Line (Your Address): Write your full address.
[ ] “Memo” or “For” Line: Indicate the purpose of the payment.
[ ] “Signature” Line: Sign your name.
[ ] Keep Your Receipt: Store the receipt in a safe place.

Example of a Properly Filled Out Money Order:

Pay To: John Doe
Address: 123 Main Street, Anytown, USA
From: Jane Smith
Address: 456 Oak Avenue, Anytown, USA
Memo: Rent for July
Signature: (Jane Smith’s Signature)

By following these steps and double-checking your work, you can ensure that your money order is filled out correctly and will be processed without any issues.

Alt text: Completing a money order form accurately with payee and purchaser details.

5. How Much Does It Cost to Cash a Money Order?

The cost to cash a money order can vary widely depending on where you go. Here’s a breakdown of the fees you can expect at different locations:

5.1. Banks and Credit Unions

Customers: If you have an account at a bank or credit union, cashing a money order is often free. Some banks may charge a small fee, typically ranging from $0 to $5.
Non-Customers: Banks and credit unions usually charge non-customers a higher fee, which can range from $5 to $15 or more. Some banks may not cash money orders for non-customers at all.

5.2. United States Postal Service (USPS)

The USPS charges a fee for cashing money orders, which is generally competitive. As of 2023, the fee is typically around $1.25 for money orders up to $500 and $1.65 for money orders between $500 and $1,000. However, these fees can vary slightly by location, so it’s always a good idea to check with your local post office.

5.3. Retail Stores

Walmart: Walmart is a popular option for cashing money orders. They typically charge a fee of $3 to cash money orders up to $500 and $6 for money orders between $500 and $1,000.
Kroger: Fees at Kroger can vary by location but are generally in the range of $3 to $8.
Other Retailers: Other retail stores, such as CVS and Walgreens, may offer money order cashing services with fees ranging from $4 to $10.

5.4. Check Cashing Stores

Check cashing stores often charge the highest fees for cashing money orders. These fees can be a percentage of the money order’s value, often ranging from 1% to 5% or more. For example, cashing a $500 money order at a check cashing store with a 3% fee would cost you $15.

Summary Table: Cost to Cash a Money Order

Location	Fees
Banks/Credit Unions	$0 – $5 (for customers), $5 – $15+ (for non-customers)
USPS	$1.25 (up to $500), $1.65 ($500 – $1,000)
Retail Stores (Walmart)	$3 (up to $500), $6 ($500 – $1,000)
Check Cashing Stores	1% – 5% or more

Factors Affecting the Cost

Customer Status: Whether you are a customer of the bank or credit union.
Money Order Amount: Some locations charge higher fees for larger money orders.
Location: Fees can vary by geographic location and specific store.
Promotions: Some locations may offer promotional rates or waive fees under certain conditions.

Tips to Minimize Fees

Use Your Bank: If you have a bank account, cashing the money order at your bank is usually the cheapest option.
Check with USPS: The post office offers competitive rates, especially for smaller money orders.
Compare Fees: Before cashing a money order, call or visit several locations to compare fees.
Consider Opening an Account: If you frequently cash money orders, consider opening an account at a bank or credit union to avoid non-customer fees.

By understanding the different fee structures and considering these tips, you can minimize the cost of cashing a money order.

6. What are the Risks Associated with Money Orders?

While money orders are generally a safe and reliable way to send and receive money, there are certain risks you should be aware of. Here are some potential issues and how to avoid them:

6.1. Fraudulent Money Orders

Risk: Counterfeit money orders are a significant concern. Scammers create fake money orders that look legitimate but are worthless.
How to Avoid:
- Purchase from Reputable Sources: Always buy money orders from well-known and trusted places like banks, credit unions, post offices, or established retail stores.
- Inspect Carefully: Check the money order for security features such as watermarks, security threads, and microprinting.
- Be Wary of Overpayments: If you’re selling something and the buyer sends a money order for more than the agreed-upon price, it’s likely a scam. They will ask you to refund the difference, but the original money order will bounce, leaving you liable for the loss.
- Verify Before Cashing: If you’re unsure about the legitimacy of a money order, verify it with the issuing institution before cashing or depositing it.

6.2. Loss or Theft

Risk: Like cash, a money order can be lost or stolen. If this happens, you’ll need to go through a process to get it replaced, which can take time and involve fees.
How to Avoid:
- Keep it Safe: Store your money order in a secure place until you are ready to send it or cash it.
- Fill Out Promptly: Fill out the money order as soon as you purchase it to prevent someone else from cashing it if it gets lost or stolen.
- Keep the Receipt: The receipt is crucial for tracking and replacing a lost or stolen money order. Store it separately from the money order itself.
- Track the Money Order: Use the tracking number on your receipt to monitor the status of the money order online or by phone.

6.3. Altered or Forged Money Orders

Risk: Someone might try to alter the money order by changing the payee’s name or the amount. Forged endorsements are also a risk.
How to Avoid:
- Write Clearly: When filling out the money order, write legibly and use a pen that cannot be easily erased.
- Avoid Corrections: If you make a mistake, void the money order and get a new one.
- Be Alert: Examine the money order carefully before cashing it to ensure that nothing has been altered or tampered with.

6.4. Delays in Processing

Risk: Sometimes, there can be delays in processing a money order, especially if there are issues with verification or if the issuing institution is experiencing technical difficulties.
How to Avoid:
- Cash Promptly: Cash the money order as soon as possible to avoid potential delays.
- Check Status: If you’re waiting for a money order to clear, check the status online or by phone using the tracking number.
- Contact Issuer: If there are significant delays, contact the issuing institution to inquire about the status.

6.5. Fees and Costs

Risk: Cashing or replacing a money order can involve various fees that can add up, reducing the amount you receive.
How to Avoid:
- Be Aware of Fees: Before cashing a money order, ask about any fees involved.
- Shop Around: Compare fees at different locations to find the most cost-effective option.
- Consider Alternatives: If fees are a concern, consider alternative payment methods like direct deposit or electronic transfers, which may be cheaper.

Summary Table: Risks Associated with Money Orders and How to Avoid Them

Risk	How to Avoid
Fraudulent Money Orders	Purchase from reputable sources, inspect carefully, be wary of overpayments, verify before cashing.
Loss or Theft	Keep it safe, fill out promptly, keep the receipt, track the money order.
Altered or Forged Money Orders	Write clearly, avoid corrections, be alert for tampering.
Delays in Processing	Cash promptly, check status, contact issuer if delays occur.
Fees and Costs	Be aware of fees, shop around for better rates, consider cheaper alternatives like direct deposit.

By being aware of these risks and taking the necessary precautions, you can use money orders safely and effectively.

7. What to Do If a Money Order is Lost or Stolen?

If a money order is lost or stolen, it’s crucial to take immediate action to minimize potential financial loss. Here’s a step-by-step guide on what to do:

7.1. Gather Information

Money Order Receipt: The most important thing is to have your original money order receipt. This contains crucial information needed to track and replace the money order.
Money Order Details: Collect as much information as possible about the money order, including:
- The money order number
- The date of purchase
- The amount of the money order
- The name of the payee (the person or company it was made out to)
- The location where you purchased the money order

7.2. Contact the Issuing Institution

Who to Contact: Contact the institution that issued the money order. This could be:
- USPS: If you purchased the money order from the United States Postal Service.
- Western Union: If it’s a Western Union money order.
- MoneyGram: If it’s a MoneyGram money order.
- Bank or Credit Union: If you purchased it from your bank or credit union.
How to Contact:
- Phone: Call the customer service number of the issuing institution.
- Online: Visit their website for online support or to file a claim.
- In Person: Visit a branch or office of the issuing institution.

7.3. File a Claim

Claim Form: The issuing institution will provide you with a claim form to fill out. This form will require you to provide all the details you gathered in step one, as well as a statement explaining the circumstances of the loss or theft.
Provide Documentation: Include a copy of your money order receipt and any other relevant documentation, such as a copy of your ID.
Submission: Submit the completed claim form and documentation to the issuing institution. Follow their instructions for submission, which may include mailing it in, submitting it online, or delivering it in person.

7.4. Pay the Replacement Fee

Fee Amount: There is typically a fee to replace a lost or stolen money order. The amount of the fee varies depending on the issuing institution and the amount of the money order.
Payment Method: Be prepared to pay the fee when you file the claim. The issuing institution will provide you with the accepted payment methods.

7.5. Wait for Investigation

Investigation Process: The issuing institution will conduct an investigation to determine whether the money order has been cashed. This process can take time, typically ranging from 30 to 90 days.
Check Status: You can usually check the status of your claim online or by contacting customer service.

7.6. Receive Replacement

If Not Cashed: If the investigation confirms that the money order has not been cashed, the issuing institution will issue you a replacement money order for the original amount, minus the replacement fee.
If Cashed: If the money order has been cashed, the issuing institution will investigate further to determine if it was fraudulently cashed. If fraud is confirmed, you may be eligible for reimbursement.

Summary Checklist: What to Do If a Money Order is Lost or Stolen

[ ] Gather Information: Money order receipt, money order number, date of purchase, amount, payee name, purchase location.
[ ] Contact the Issuing Institution: USPS, Western Union, MoneyGram, Bank, or Credit Union.
[ ] File a Claim: Complete the claim form, provide documentation, submit the form.
[ ] Pay the Replacement Fee: Be prepared to pay the fee when filing the claim.
[ ] Wait for Investigation: The process can take 30-90 days.
[ ] Receive Replacement: If not cashed, receive a replacement money order. If cashed fraudulently, investigate further.

By following these steps promptly and thoroughly, you can increase your chances of recovering the funds from a lost or stolen money order.

8. Can a Money Order Be Stopped?

Unlike personal checks, stopping payment on a money order is not typically possible. Money orders are prepaid instruments, meaning the funds are secured when the money order is purchased. However, if a money order is lost or stolen, you can request a replacement, but the original cannot be stopped.

Why Can’t You Stop a Money Order?

Prepaid Nature: Money orders are purchased with guaranteed funds, making them similar to cash. Once issued, the funds are set aside, and the transaction is considered final.
Irreversible Transaction: The issuing institution treats the transaction as complete once the money order is issued, so there is no mechanism to stop the payment.

What You Can Do If a Money Order Is Lost or Stolen

If you’ve lost a money order or suspect it has been stolen, you can request a replacement. Here’s what you need to do:

Gather Information: Collect the money order number, date of purchase, amount, payee’s name, and where you purchased the money order.
Contact the Issuing Institution: Reach out to the institution that issued the money order (e.g., USPS, Western Union, MoneyGram, bank, or credit union).
File a Claim: Complete a claim form with all necessary details and submit it to the issuing institution.
Pay the Replacement Fee: A fee is required to process the replacement request.
Wait for Investigation: The institution will investigate to confirm whether the money order has been cashed. This can take several weeks or months.
Receive Replacement: If the money order hasn’t been cashed, you will receive a replacement for the original amount, minus the replacement fee.

Important Considerations

Time Frame: The investigation process can take time, so be patient.
Fee Variability: Replacement fees vary depending on the issuing institution and the money order amount.
No Guarantee: There is no guarantee that you will receive a replacement, especially if the money order has already been cashed.

Summary Table: Stopping a Money Order vs. Requesting a Replacement

Feature	Stopping a Money Order	Requesting a Replacement
Possibility	Not Possible	Possible if Lost or Stolen
Reason	Money is Prepaid	Loss or Theft
Action	N/A	File a Claim, Pay Fee, Wait for Investigation
Outcome	N/A	Replacement (if not cashed)

While you cannot stop a money order, requesting a replacement is the best course of action if it is lost or stolen.

9. What are the Alternatives to Money Orders?

While money orders are a reliable method for sending money, they are not always the most convenient or cost-effective option. Here are several alternatives to consider:

9.1. Cashier’s Checks

What It Is: A cashier’s check is a check guaranteed by a bank, drawn on the bank’s own funds.
How It Works: You purchase a cashier’s check from a bank by providing the funds and the payee’s information. The bank then issues the check, guaranteeing that the funds are available.
Pros: Highly secure, widely accepted, and can be used for large transactions.
Cons: Requires a bank account, may involve fees, and requires a visit to the bank.

9.2. Electronic Funds Transfer (EFT)

What It Is: An electronic transfer of money from one bank account to another.
How It Works: You can initiate an EFT through your bank’s website, mobile app, or in person. You’ll need the recipient’s bank account and routing numbers.
Pros: Convenient, fast, and often free or low-cost.
Cons: Requires both parties to have bank accounts, and there may be limits on the amount you can transfer.

9.3. Online Payment Platforms

What It Is: Services like PayPal, Venmo, and Zelle allow you to send and receive money electronically.
How It Works: You link your bank account or credit card to the platform, and then you can send money to other users using their email address or phone number.
Pros: Fast, convenient, and often free for personal use.
Cons: May involve fees for certain transactions, requires both parties to have accounts on the platform, and there may be limits on the amount you can send.

9.4. Prepaid Debit Cards

What It Is: A prepaid debit card is a card that you load with funds and can use to make purchases or withdraw cash.
How It Works: You purchase a prepaid debit card and load it with funds. The recipient can then use the card to make purchases or withdraw cash from an ATM.
Pros: Can be used by those without bank accounts, and easy to obtain.
Cons: May involve fees for activation, loading funds, and ATM withdrawals.

9.5. Wire Transfers

What It Is: A wire transfer is an electronic transfer of funds through a network of banks and transfer agencies.
How It Works: You initiate a wire transfer at your bank or a transfer agency like Western Union or MoneyGram. You’ll need the recipient’s bank account information or their name and address.
Pros: Fast and can be used for international transfers.
Cons: Often expensive, with fees ranging from $25 to $50 or more per transaction.

9.6. Mobile Payment Apps

What It Is: Apps like Cash App and Google Pay allow you to send and receive money using your smartphone.
How It Works: You link your bank account or debit card to the app and can send money to other users using their phone number or email address.
Pros: Convenient and often free for personal use.
Cons: May involve fees for certain transactions, and requires both parties to have the app.

Summary Table: Alternatives to Money Orders

Alternative	Pros	Cons
Cashier’s Checks	Highly secure, widely accepted, used for large transactions	Requires bank account, may involve fees, requires a bank visit
Electronic Funds Transfer	Convenient, fast, often free or low-cost	Requires bank accounts, may have transfer limits
Online Payment Platforms	Fast, convenient, often free for personal use	May involve fees, requires accounts on the platform, may have limits
Prepaid Debit Cards	Can be used without bank accounts, easy to obtain	May involve various fees
Wire Transfers	Fast, can be used for international transfers	Often expensive
Mobile Payment Apps	Convenient, often free for personal use	May involve fees, requires both parties to have the app

By considering these alternatives, you can choose the payment method that best suits your needs and circumstances.

Alt text: Exploring alternatives to money orders for secure and efficient money transfers.

10. FAQs About Cashing Money Orders

Here are some frequently asked questions about cashing money orders to help you better understand the process:

10.1. Can I cash a money order without an ID?

Answer: Generally, no. Most places that cash money orders require a valid photo ID to verify your identity and prevent fraud. However, if you have an account at a bank or credit union, they may waive the ID requirement if they can verify your identity through their records.

10.2. Can I cash a money order made out to someone else?

Answer: No, you cannot cash a money order made out to someone else. Only the person or entity named as the payee can cash or deposit the money order.

10.3. What happens if I lose the money order receipt?

Answer: The receipt is crucial for tracking and replacing a lost or stolen money order. Without the receipt, it may be difficult or impossible to get a replacement. Contact the issuing institution as soon as possible to inquire about your options.

10.4. How long is a money order valid?

Answer: Money orders generally do not expire. However, some issuing institutions may charge a fee for money orders that are more than a year old. Check the terms and conditions of the money order for specific details.

10.5. Can I cash a money order at an ATM?

Answer: Typically, no. ATMs are designed to deposit checks and withdraw cash, but they do not usually accept money orders for cashing.

10.6. What if the money order is damaged?

Answer: If the money order is damaged but still legible, you may be able to cash it. Take the damaged money order to the issuing institution and inquire about your options. They may be able to verify the money order and issue a replacement.

10.7. Can a business refuse to cash a money order?

Answer: Yes, a business can refuse to cash a money order. Cashing a money order is not a legal requirement, so businesses are free to set their own policies.