Can You Buy a Money Order With a Credit Card?

If you’re wondering, “Can I buy a money order with a credit card?” let’s get this straight: while it’s technically possible, it’s definitely not the best option.

Keep reading to find out if you can use a credit card to purchase a money order and, more importantly, why it’s probably not worth it.

Where to Purchase a Money Order

Money orders can be purchased at various locations. Common outlets include:

• US Postal Service branches (including military post offices);
• Banks and credit unions;
• Check-cashing or convenience stores (for people without bank accounts);
• Retail stores (such as Walmart, grocery stores, and drugstores).

Each money order seller has its own rules regarding ID requirements, accepted payment methods, transaction limits, and fees. Fees typically range from under $1 to a few dollars (often around $1–5), depending on the amount and location. Not all sellers accept international money orders, so if you need to send funds abroad, you should verify this in advance.

Can You Buy a Money Order With a Credit Card?

Although credit cards are not widely accepted for purchasing a money order, it is still possible to use them. Money orders typically require payment via cash or debit card, but you can buy a money order with a credit card, although not directly.

Western Union and 7-Eleven used to accept credit card payments for money orders, but this payment method is no longer supported, along with personal checks. Today, most retailers, banks, and other locations do not allow you to use a credit card for a money order. At the most popular locations, such as the US Postal Service, Walmart, Western Union, and 7-Eleven, you can only pay with cash or a debit card.

However, this doesn’t mean that if you don’t have cash but have a credit card, you can’t buy a money order. So, how to get a money order with a credit card? You can use your credit card to get a cash advance, then you can use that money to purchase a money order.

With this approach, you’re essentially using your credit card as a debit card to withdraw cash, and let’s face it, it’s expensive. Plus, that’s far from the only downside.

Is It a Good Idea to Purchase a Money Order With a Credit Card?

Let’s say right away: using a credit card to buy a money order can hardly be called a good or profitable idea. And here are a few key insights that will convince you that using a credit card to get a money order is not your best bet:

• With a cash advance, you must be prepared to pay a high annual percentage rate (APR) that may not be offset by any benefits.
• Credit card issuers charge high fees for cash advances, typically a flat rate of $10 or 5% of the amount, with some issuers charging even higher fees.
• Cash advances start accruing interest immediately (no grace period), unlike regular purchases that may have a grace period.
• Cash advances often have limits on the maximum amount you can withdraw.
• Taking a cash advance can increase your credit utilization ratio, which in turn can negatively impact your credit score.

In simple terms, unlike cash withdrawn from your bank account balance, a cash advance must be repaid on terms favorable to your credit card issuer. To fully understand the costs, fees, and limits, you should check the terms directly from your credit card provider.

Instead of using a credit card to purchase a money order, which is costly and complicated, you may want to consider other options that are cheaper, more convenient, and more efficient. For example, you can pay for a money order using cash, a debit card, a traveler’s check, or a transfer from your bank.

Even with cash or debit, you will usually pay a small fee. Money order fees vary by vendor and amount but typically range from under $1 up to a few dollars (often no more than about $5).

Conclusion

A money order is a great alternative way for making purchases or transferring money between individuals or between a buyer and a business. When it comes to paying for a money order, the standard methods are cash or a debit card. However, if you really want to, you can also consider using a credit card. But what you should know is that although you can pay for a money order with credit funds, we strongly advise against it. This option is inefficient, complicated, and expensive.

In fact, you can’t buy a money order directly with a credit card  — your only option is to take out a cash advance. This method will cost you more: it comes with higher fees, a higher annual percentage rate and higher fees. In addition, you should also be prepared for no grace period, limits on the maximum amount, and potential damage to your credit score.

After weighing all the pros and cons, the conclusion is clear: buying a money order with a credit card is simply not worth it.