Yes, you can cash a money order at your bank, but it depends on whether you have an account there
Most banks will cash a money order if you are a customer with an active account. The teller will take the money order to the back, verify it is legitimate, and deposit the funds into your account or give you cash on the spot. If you do not have an account at that bank, they may still cash it, but many will charge a fee — usually between $5 and $15 — or refuse altogether. Some banks have policies that only account holders can cash money orders.
The process is straightforward when you have an account. Bring your money order and a valid ID. The teller will ask you to sign the back if you have not already, then process it like any other deposit or withdrawal. Most banks complete this in a few minutes, though during busy times you may wait longer.
Key Takeaways
- Bank customers can almost always cash money orders at their own bank without paying a fee.
- Non-customers may face fees of $5 to $15, or the bank may refuse to cash it at all.
- You will need a valid ID and the money order itself; sign the back if you have not already.
- If your bank will not cash it, the issuing bank or a check-cashing store are your next options.
What happens when you bring a money order to your bank
When you hand the teller a money order, they will check three things: that you have signed the back, that the amount is filled in clearly, and that the money order has not expired. Most money orders do not expire, but some issued by smaller companies or years ago may have time limits — the issuer's website will tell you if yours does.
The teller will then verify the money order is real by checking the serial number and amount against the issuer's records. This usually takes a few minutes. Once verified, the funds are added to your account or given to you in cash, depending on what you request. If you want cash, the bank will count it out to you at the window.
When your bank will not cash it
Some banks refuse to cash money orders for non-customers, and some charge a fee even for customers. Call your bank ahead of time to ask their policy — this saves you a trip. If they will not do it, you have other options.
The issuing bank — the bank that sold the money order — will almost always cash it for free, even if you do not have an account there. If the money order came from Western Union, MoneyGram, or the U.S. Postal Service, you can take it to any location that sells those money orders and cash it there. If it came from a specific bank, go to that bank's branch.
Using a check-cashing store if you do not have a bank account
Check-cashing stores will cash money orders, but they charge a percentage of the amount — typically 1 to 3 percent. On a $500 money order, that could be $5 to $15. Some stores charge a flat fee instead. These fees are higher than what a bank charges, but check-cashing stores do not require you to have an account and are often open longer hours than banks.
Before you go, call ahead and ask their fee for the amount you are cashing. Fees vary by location and by the size of the money order. Bring a valid ID — check-cashing stores require one just like banks do.
What you need to bring
You will need the money order itself and a valid form of ID. A driver's license, state ID card, or passport all work. Some banks may ask for a second form of ID if you are a non-customer, though this is less common.
Make sure the money order is signed on the back. If it is not, the teller will ask you to sign it in front of them before they process it. Do not sign it before you arrive — some banks want to see you sign it to confirm your identity.
Money orders that are damaged or unclear
If the money order is torn, water-damaged, or the amount is hard to read, the bank may refuse to cash it or send it to the issuer for verification, which takes longer. If you can read the issuer's name and serial number, the issuer can usually issue a replacement. Contact them directly — most have customer service lines on their website.
If the money order is blank or missing key information like the amount or payee name, it cannot be cashed. Take it back to where you bought it and explain the problem. Most issuers will replace a defective money order.
Depositing versus cashing
You do not have to ask for cash. If you have a bank account, you can deposit the money order directly into your account instead. This is often faster than waiting for the teller to count out cash, and the funds are available when ready or within one business day, depending on your bank's policy. If you need the cash right away, ask for it at the window.
Depositing is also safer than carrying cash home. If you are not sure which option to choose, ask the teller — they can explain what makes sense for your situation.
Frequently Asked Questions
Do I need an account at the bank to cash a money order there?
No, but having an account usually means no fee. Non-customers may be charged $5 to $15 or turned away. Call your bank first to ask their policy for non-customers before you go.
What if the money order is made out to someone else?
The person whose name is on the money order must sign the back and be present with ID. If they sign it and write "pay to the order of" followed by your name, you can cash it, but policies vary by bank. Ask first.
How long does it take to cash a money order at a bank?
Usually a few minutes to verify it is real. During busy times, you may wait 10 to 20 minutes. If the bank needs to contact the issuer, it may take longer, but this is rare.
Can I cash a money order online?
No. You must bring the physical money order to a bank, check-cashing store, or the issuer's location. Some banks let you deposit it through mobile banking by taking a photo, but you cannot cash it for physical money that way.
What if I lost the money order?
Contact the issuer when ready with the serial number. Most will issue a replacement, but you may need to wait and pay a small fee. If you do not have the serial number, the issuer may ask for proof of purchase.