Cashier’s Check Vs. Money Order

Cashier’s checks and money orders are common ways to pay for purchases without using cash, debit cards or personal checks. People may use cashier’s checks or money orders because a vendor requires them or because they don’t want to carry around large amounts of cash.

Cashier’s checks and money orders are typically lumped together when people talk about alternative payment methods, but they have several distinct characteristics, particularly in terms of availability and costs. Here’s a breakdown of how they compare.

What Is a Cashier’s Check?

A cashier’s check is a secure alternative to cash, allowing you to make large purchases you wouldn’t feel comfortable paying for in cash, such as a home or vehicle. Unlike a personal check, a cashier’s check is guaranteed by the issuing bank and cannot bounce. The money to fund a cashier’s check is taken from your bank account at the time of purchase.

Many vendors prefer (or even require) cashier’s checks for large transactions to avoid the risk of delayed payment due to insufficient funds. Because cashier’s checks are meant for big purchases, some banks may place a minimum limit on the check amount but a high upper limit or none at all.

You’ll usually have to go to your financial institution directly to get a cashier’s check. The fee to purchase a cashier’s check can range from $6 to $15, but it’s typically around $10.

What Is a Money Order?

Money orders are prepaid checks you can use to make purchases. Because they’re prepaid, money orders can’t bounce. However, they aren’t guaranteed by a bank, so you can purchase them without a bank account. Money orders are available at post offices, banks, retailers and grocery stores.

Money orders are meant for smaller purchases, and many banks limit money order amounts to $1,000 or less. Money order fees can range from $0.35 to $5, but they usually cost a dollar or two when purchased from the post office or a big-box retailer.

Cashier’s Check vs. Money Order

Cashier’s checks and money orders are similar in that you pay for them upfront. This eliminates the risk of bounced checks and offers vendors the security of guaranteed funds. Cashier’s checks and money orders are often used when a vendor won’t accept cash or personal checks as payment methods. This is common when dealing with large transactions or unfamiliar parties.

Cashier’s checks and money orders differ when it comes to payment amounts, fees and where you can purchase them. Cashier’s checks are best for purchases over $1,000, while money orders are meant for purchases under $1,000. Money orders tend to be cheaper than cashier’s checks, costing around $0.35 to $5 compared to around $10 for cashier’s checks.

Finally, money orders are sold at post offices, stores and check-cashing companies in addition to financial institutions, and you can buy one even if you don’t have a bank account. Cashier’s checks are only available at banks and credit unions, and you typically have to be a customer to purchase one.

	Cashier’s check	Money order
Availability	Banks and credit unions	Post offices, big-box retailers, grocery stores, convenience stores, check-cashing stores, banks and credit unions
Dollar amount limits	$1,000 or more	Typically capped at $1,000
Typical cost	$6 to $15 each	$0.35 to $5 each

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Cashier’s Check Fees

Cashier’s check fees are often around $10 but will vary by bank and account type. Some banks charge slightly more to purchase a cashier’s check online instead of in a branch. For example, Wells Fargo charges an extra $8 to ship a cashier’s check purchased online, in addition to the $10 base fee, for a total of $18.

Here’s how much it costs to purchase a cashier’s check at several major banks.

Bank	Cashier’s check fee
Chase	$10 or free, depending on your checking account type
Bank of America	$15, waived if you’re enrolled in Preferred Rewards
Wells Fargo	$10 in-branch, $18 online
Capital One	$10 in-branch, $20 online
U.S. Bank	$10
Huntington Bank	$6

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Money Order Fees

Money order fees vary by location, the amount of the money order and whether you’re sending money within the U.S. or internationally. If you send money internationally, you will likely pay additional fees not listed below.

Here’s how much it costs to purchase a money order at several different places.

Location	Amount
Post Offices	For money orders $0.01 to $500: $2.00 For money orders $500.01 to $1,000: $2.90 Postal military money orders: $0.65
Walmart	Up to $1 (exact fees vary by location)
Wells Fargo Bank	$5
Chase Bank	$5, waived for certain checking and savings account holders
U.S. Bank	$5

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Where To Get a Cashier’s Check

Most banks and credit unions offer cashier’s checks. However, you’ll likely have to be an account holder at the bank or credit union to request a cashier’s check. You can typically purchase a cashier’s check at a branch or online.

Be aware you may pay more for cashier’s checks you order online due to delivery fees.

You’ll need to have certain information to purchase a cashier’s check, including:

• The dollar amount of the check
• The payee’s name
• A government-issued ID
• The account you want the money pulled from

Where To Get a Money Order

You can purchase money orders at post offices, some major retailers, grocery stores and check-cashing places. Some banks and credit unions also sell money orders. Here are many common places to get money orders:

• Post offices
• Western Union
• MoneyGram
• Walmart
• 7-Eleven
• Kroger
• CVS Pharmacy
• Wells Fargo Bank
• Chase Bank
• U.S. Bank

The cost to purchase a money order varies from place to place. Post offices and retailers like Walmart and Kroger typically charge lower money order fees than banks.

You’ll typically need to provide the following details when filling out a money order:

• The payee’s details, including their name and address
• The amount you’d like to send the payee
• Your name and address
• Cash or debit card to pay for the money order

Frequently Asked Questions (FAQs)