Cash orders are basically the identical as cashier’s checks — they’re a safe method to ship cash to a 3rd occasion. Nevertheless, whereas cashier’s checks are backed by a financial institution, cash orders aren’t. Cash orders might be bought at varied places, akin to U.S. Postal Service (USPS) workplaces, drug shops, comfort shops, grocery shops, in addition to banks and credit score unions.
How Does a Cash Order Work?
Once you buy a cash order, you’ll want to offer the cash upfront, simply as you’d a cashier’s test. You’ll sometimes must pay for it utilizing money, a debit card, or traveler’s checks — sometimes, private checks and bank cards received’t be accepted. In contrast to cashier’s checks, cash orders could have a most restrict, normally round $1,000 (when you want a bigger quantity, you would buy a couple of cash order). You’ll even be charged a transaction payment for a cash order, nevertheless it tends to be cheaper than cashier’s checks. Relying on the place you purchase a cash order from — and the way a lot it’s for — the payment will range, however you possibly can sometimes anticipate to pay wherever from lower than $1 to $5.