Money Order


DEFINITION of 'Money Order'

A certificate that allows the stated payee to receive cash on-demand, usually issued by governments and banking institutions. A money order functions much like a check, in that the person who purchased the money order may stop payment.


Money orders are readily accepted and converted to cash, and are often used by people without access to a standard checking account. Money orders are an acceptable form of payment for small debts, both personal and business, and can be purchased for a small service fee from most institutions.

Money orders were first issued by American Express in 1882, and later became popularized as traveler's checks.

  1. Checking Account

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  2. Bank

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  3. Cashier's Check

    A check written by a financial institution on its own funds. ...
  4. Traveler's Check

    A medium of exchange that can be used in place of hard currency. ...
  5. Cash And Cash Equivalents - CCE

    An item on the balance sheet that reports the value of a company's ...
  6. Credit Union

    Member-owned financial co-operative. These institutions are created ...
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