Quick money order question.

[fuzzybabybunny]

I've never cashed in a money order, but I've heard that they are very secure for the person receiving the funds.

I recently received a money order from someone for an eBay sale and when I took it to the bank I was told:

1. Money orders are like checks and they have to clear. (I didn't even think they had to clear. I always thought they were instant redemption.)

2. The person who sent the money order can put a "stop payment" on it and the MO will not clear.

3. The person who sent the money order can put a "stop payment" on it after it's cleared and I will actually get hit with a chargeback.

4. Chargebacks can happen anywhere from now to years from now.

The idea behind the "stop payment" is that if the buyer loses the money order after paying for it, he can cancel it.

Now I'm having serious reservations about sending out this package. The seller has 16 feedback, all positive.

 

[sash1]

I never knew I could cancel a MO?

 

[fuzzybabybunny]

Originally posted by: sash1
I never knew I could cancel a MO?

Neither did I! I thought with money orders you pay for them with cash, and then it's done. Finito. If you lose the money order it's like losing your wad of cash. I even thought sellers could redeem them for cold hard cash.

The money order is a Safeway MO, and since I don't have a Safeway around here, only a Kroger's, I guess I have to wait for it to clear?

 

[Kalvin00]

Doubt it. I know at my bank (at least for cashier's checks) you can't put a stop pay for 90 days. Probably the same for money orders.

 

[amdskip]

Next time tell them you want a USPS money order. You can cash them anytime and at a bank or any post office.

 

[fuzzybabybunny]

Originally posted by: amdskip
Next time tell them you want a USPS money order. You can cash them anytime and at a bank or any post office.

I'll definitely do that from now on. By "cash in" do you physically mean with cash in my hand?

 

[jpeyton]

3. The person who sent the money order can put a "stop payment" on it after it's cleared and I will actually get hit with a chargeback.

The guy at the bank is talking out of his ass. That is untrue. Wait for it to clear and you'll be fine.

[/thread]

 

[UpgradeFailure]

Originally posted by: fuzzybabybunny

Originally posted by: amdskip
Next time tell them you want a USPS money order. You can cash them anytime and at a bank or any post office.

I'll definitely do that from now on. By "cash in" do you physically mean with cash in my hand?

Yeah USPS money orders are where it's at. They scan it, and then hand you cash. So if they end up being fake (very rare with USPS ones) it's their problem, as they have no account of yours to take any money back.

 

[swtethan]

Originally posted by: fuzzybabybunny

Originally posted by: amdskip
Next time tell them you want a USPS money order. You can cash them anytime and at a bank or any post office.

I'll definitely do that from now on. By "cash in" do you physically mean with cash in my hand?

cash in hadn no questions asked, its just cash in usps paper form

 

[EagleKeeper]

There may be a phone number on the back of the MO. IF not; find out you the issuer of the MO is.

Call them to verify the MO. IF the MO is verified as valid; then deposit it and wait for it to clear. The issuer of the MO will also be able to tell you once it clears (3-5 days after you put it into the bank.) Once cleared; you are safe.