Most money order sellers won't take credit cards directly, but you have workarounds
You cannot walk into a Western Union, MoneyGram, or post office and hand over a credit card to buy a money order. These sellers treat credit cards as cash advances, which carry fees and interest rates that make the transaction expensive. However, you can use a credit card to fund a money order through a few indirect routes: withdraw cash from an ATM using your card, transfer money to a bank account and write a check, or use a payment app that accepts credit cards and then withdraw the funds.
The reason matters. Money order sellers see credit card purchases as risky because they can be reversed. A customer could buy a money order, cash it, then dispute the charge with their credit card company. The seller loses money either way. So they block credit cards outright or treat them as cash advances, which means you pay interest when ready, not at the end of a billing cycle.
Key Takeaways
- Western Union, MoneyGram, and the U.S. Postal Service do not accept credit cards for money order purchases at the counter.
- Using a credit card at an ATM to withdraw cash, then buying a money order with that cash, works but costs you an ATM fee plus any cash advance interest your card charges.
- Transferring credit card funds to your bank account through a balance transfer check or payment app, then using your debit card or bank account to buy the money order, avoids the cash advance label.
- Some payment apps like PayPal or Venmo let you link a credit card, withdraw the balance to a debit card, and use that debit card at a money order counter.
Why credit cards are blocked at money order counters
Money order sellers classify credit card transactions as cash advances. A cash advance is borrowing money against your credit limit, not a purchase. Your credit card company charges a fee (usually 3 to 5 percent of the amount) and starts charging interest when ready—often at a higher rate than regular purchases. A $500 money order bought with a credit card could cost you $15 to $25 in fees alone, before any interest.
The seller's reason is different but related. They worry about chargebacks. If you buy a money order with a credit card and then dispute the charge, the seller has already handed over the money order. The credit card company refunds you, and the seller absorbs the loss. Money orders are designed to be final—once cashed, they cannot be reversed. So sellers avoid credit cards to protect themselves.
Debit cards and cash are treated differently. A debit card pulls money directly from your bank account, so there is no credit company in the middle to reverse the charge. Cash is obviously final. Both are accepted everywhere.
Using an ATM to convert your credit card to cash
The simplest workaround is to use your credit card at an ATM to withdraw cash, then buy the money order with that cash. You walk to an ATM, insert your card, select "cash advance," withdraw the amount you need, and go to the money order counter with bills in hand.
The cost is real. Your credit card company charges a cash advance fee (typically 3 to 5 percent) and begins charging interest on the withdrawn amount when ready. There is no grace period. If you withdraw $500, you might pay $15 to $25 in fees plus interest starting the next day. You also pay an ATM fee if you use a machine outside your card issuer's network—usually $2 to $3.
This route makes sense only if you need the money order urgently and have no other way to fund it. If you have time, the next two options are cheaper.
Transferring credit card funds to your bank account
Many credit card companies offer balance transfer checks—physical checks you can write against your credit line. You write a check to yourself, deposit it into your bank account, and then use your debit card or bank account to buy the money order. The credit card company charges a balance transfer fee (usually 3 to 5 percent), but you avoid the cash advance label and the when ready interest.
Ask your credit card company whether they offer balance transfer checks. Not all do. If yours does, request a batch and keep them on hand. The fee is the same as a cash advance fee, but the interest clock does not start until the end of your billing cycle, giving you a grace period to pay it back.
If your card does not offer checks, you can use a payment app instead. Link your credit card to PayPal, Venmo, Square Cash, or a similar service. Transfer the money into your app account, then withdraw it to a linked debit card or bank account. This takes one to three business days. The app may charge a fee for linking a credit card (PayPal charges 2.9 percent plus $0.30 for credit card transfers), but you avoid the cash advance interest rate.
Using payment apps as an intermediary
Payment apps like PayPal, Venmo, and Square Cash let you link a credit card and transfer money into your app balance. Once the money is in your app, you can withdraw it to a debit card or bank account. That debit card or bank account can then be used at a money order counter without any credit card involvement.
The process takes time. Linking a credit card to an app and transferring money usually takes one to three business days. Withdrawing from the app to a debit card takes another one to three days. So plan ahead if you use this route. The fees vary: PayPal charges 2.9 percent plus $0.30 for credit card transfers, while Venmo charges 3 percent. Some apps charge nothing to link a credit card but charge to withdraw to a debit card.
This method is useful if you are not in a hurry and want to avoid both the cash advance fee and the when ready interest. You pay a transfer fee to the app, but that is usually lower than a cash advance fee, and you have time to pay off the balance before interest kicks in.
Comparing the cost of each method
| Method | Fees | Interest Starts | Time Needed |
|---|---|---|---|
| ATM cash advance | 3–5% cash advance fee + $2–3 ATM fee | when ready | Minutes |
| Balance transfer check | 3–5% balance transfer fee | End of billing cycle | Minutes (if you have checks) |
| Payment app transfer | 2–3% app fee | End of billing cycle (if you pay the app balance) | 2–6 business days |
| Debit card or cash (no credit card) | None | N/A | Minutes |
The better option: use a debit card or cash instead
If you have a debit card or a bank account, use that instead. Debit cards are accepted at every money order counter—Western Union, MoneyGram, and the post office all take them. There are no fees, no interest, and no complications. If you do not have a debit card, ask your bank to issue one, or open a basic checking account at a bank or credit union. Most offer free accounts with a debit card.
If you have neither a debit card nor a bank account, cash is your next option. Withdraw cash from your credit card at an ATM if you must, but understand that you are paying for the convenience. The fees and interest add up quickly, especially if you buy money orders regularly.
Frequently Asked Questions
Will Western Union or MoneyGram let me use a credit card online?
Some online money order services do accept credit cards, but they are not the same as Western Union or MoneyGram. Services like PayPal and Wise let you send money internationally or domestically using a credit card, but the recipient receives a transfer, not a physical money order. If you need a physical money order, you must buy it in person with cash or a debit card.
What if my credit card company charges a cash advance fee but no interest?
Some cards marketed to people rebuilding credit charge a cash advance fee but offer a 0 percent introductory period on cash advances. Even so, you still pay the fee upfront. A balance transfer check or payment app transfer is usually cheaper because the fee is lower or the grace period is longer.
Can I use a prepaid card to buy a money order?
Yes. Prepaid cards are treated like debit cards at money order counters. If you have a prepaid card linked to a credit card, load money onto the prepaid card first, then use the prepaid card to buy the money order. This avoids the cash advance label entirely.
Does it matter which money order seller I use if I am paying with cash from a credit card ATM?
No. Western Union, MoneyGram, and the U.S. Postal Service all charge similar fees for money orders, and all accept cash. The cost difference between sellers is usually small. Pick whichever is closest to you.