# Money Order

*Everyday Money — Finicade finance glossary*

A money order is prepaid paper currency for a fixed amount, bought with cash or a debit card and payable to a named recipient. Because it's prepaid it can't bounce, which makes it useful when the payee doesn't trust your check and when you don't have a bank account. Limits are low (commonly $1,000) and fees are small but non-trivial. Money orders are also a favourite of scammers: counterfeits look convincing, so verify with the issuer before releasing goods.

**Also known as:** postal order

**Related terms:** [Cashier's Check](https://finicade.com/glossary/cashiers-check), [Wire Transfer](https://finicade.com/glossary/wire-transfer), [Checking Account](https://finicade.com/glossary/checking-account), [Unbanked & Underbanked](https://finicade.com/glossary/unbanked-and-underbanked)

Source: https://finicade.com/glossary/money-order