• A money order is an order issued by the post office for the payment of a sum of money to the person whose name the money order is sent through the agency of the post office.

• A 'payee' is the person named in money order as the person towhom the money is to be paid.

• The advantage  of sending money to someone through money order is that the money is delivered at the house or his place of stay.

• All money orders are carried by air,without any surcharge wherever such a conveyance is available and is adventageous.

• Buy a money order form at the counter of the post office.A remitter is the person who sends money order.

• Fill in ink the necessary entries adding his signature of thumbs marks at the foot.A form without signature or thumb mark or incomplete in any respect will not be accepted.All entries made in form must be legible and may be written in English,Hindi or in the language of the district either by the remitter himself or by anyone on his behalf.The remittermay write on the coupon any communication he desires to make to the payee.

• THe amount for which a single money order may be issued must not exceed Rs 5000/-.

• The money order form duly filled in ,together with thw amount of the money order and the commision either in cash or by cheque be presented at the post office counter.

• A reciept will be given for the amount paid by him on account of the money order and commision.Any error or omission in the reciept should be pointed out at once by remitter,otherwise the post office will not  be responsible.

• After the money order is paid to the payee,the remitter of the money order recieves an acknowledgement of payment of the amount ofthe money order signed by the payee or his authorised agent.If the acknowledgement is not recieved in a reasonable time,acertificate of payment signed by the post master of the office will be given on application.However,in case of money order issued in favour of  Govt or District,Local or Municipal Boards, the acknowledgement in some cases is retained by the payeewho issued a departmental receipt to the remitter direct.

How your Money Order is sent and paid:-

• All money orders are carried by air like letters and post cards without any surcharge whenever such a conveyance is available and is advantegeous.

• If the payee of a money order has moved from the place at which the order was originally payable, and has left written instructions with the post office for the re-direction of article tohis address, the money order will be redirected and will be payable at the revised address without any extra charge if the office of payment is in India.If an inland money order is re-directed to a foreign country the differences between the commision at the foreign rate that would have been chargeable if the money order had originally been drawn in a post offoice that country and the commision at the Inland  rate already paid will be deducted from the amount of the re-directed order when it is advised to be country of destination .

• If the payee of the money order cannot be found or if teh payee refuses to take payment on the presentation of the money order to him, the amount of money order will be returned at once to the remitter free of charge.

• If the payee while refusing to take payment on presentation of the money order to him, makes an application in writting to the post office of the delivery for the detention of the money order or if the payee is not found at the address given on the money order,the money order will be detained in the post office for a period not exceeding more than 7 daysfrom the date of its presentation to the payee or from the date it is sent out for payment as the cash may be.If the payee fails to take payment of the money order,the MO will be returned to the remitter on the first working day immediately following expairy of the said period of 7 days.The commision will in no case be refunded.

• If payment of money order to the payee cannot be effected and the amount cannot be repaid to the remitter owing to the later not being found the order will become void and its value be credited to the Central Govt..But if the payee or remitter subsequently applies for payment , the amount of the order will be paid to him on the authority of the Postal Accounts Officer provided that application is made before expiration of one year from the date of issue of the original order.

• The amount of a money order other than a VP money order shall be repaid to be remitter in case the payee is dead: where the remitter or in case of VP money order the payee is dead:the amount of the money order up to 100 rupees shall be paid to the claimant on his executing a personal indemnity bond and for amounts exceeding 100 rupees, and indemnity bond with one surity  shall be obtained from the claimant.

Responsibility of post office:-

The post office will not be responsible for:

• Thr wrong payment of a money order by incorrect or incomplete information given by the remitter as to the name and adress of the payee, (or)
• for payment of money order being refused or delayed by or on account of any accidental neglect,omission or mistake by or on the part of an officer of the post office, (or)
• foe any wrong payment of a money order after the expiration of one year the date of issue of the order.Hence the name and address  of the payee must be entered with such completeness as shall secure identification and prevent risk of wrong payment.If a money order is payable from a post office in rural area,the name of the father of the payee or the husband's name in the case of woman payee may also be indicated in the money order's form to enable the correct party to be traced without difficulty.In case of money orders payble in presidency and other large towns,the name of street,the number of the house in ehich payee resides and the postal address should be invariably given.The occupation,rank,trade or proffession of the payee,any other particulars calculated  to help in identyfying him,should be added.The name of only one person may be antered as payee.except in the case of firms or corporations,whose usual designation must be given.

•  A money order payable to a Govt.Official,bank manager,or an editor of newspapers,etc in his public capacity,should contain designation and not the name of the person for whom the order is intended.If the payee of a payee of money order is illiterate,it will be necessary for him to make his mark on the money order in the presence of a witness whose signature must be obtained on the order. 

You can alter the address or place of payment of the money order:-

•  The remitter of a money order which has not been paid may request that the address of the payee shall be altered or that the name of post office at which the order was originally made payable,shall be changed.The required change will be made without additional charge on the remitter applying in writting to the post office at which the order was issued and producing the receipt and giving full  particulars of the payees address as entered in the money order.

You can alter payee's name too:-

• The remitter of a money order which has not been paid may require that the amount be paid to some person other than the payee named in the order.The requried change will be made,on payment of a second commision equal ti the first,on the remitter applying in writing to the post office at which order was issued and producing the receipt and giving particulars of the payee's address as entered in the money order.

You can even stop the payment if you feel so:

• the remitter of a money order which has not been paid may stop payment and require that the money be repaid to himself.This will be done without additional charge on the remitter applying in writing to the post office at which the money order was issued and producing the receipt  and giving full particulars of the payee's address as entered in the money order.Payment can be stopped  by the telegram if the remitter pays the telegram charges.In no case however  will the post office be responsible for inability or failure to stop payment of a money order in complaince with the remitter's request.

Special Money Order Forms:

• Disposal of detained or refused Money Orders:

           If the payee of a money order or if the payee refuses to take payment on presentation of the money order to him ,the amount of the money order will be returned at once to the remitter free of charge:-

Provided that if the payee while refusing  to take payment on presentation of the money order to him,makes an application in writing to the post office  of delivery for the detention of the money order or if the payee is not found at the address given on the money order ,the mpney order will be detained  in the post office for period not exceeding 7 days from the date of its presentation to the payee or from the date it is sent out for the as the case may be.If the payee fails to take payment of money days,the money order will be returned to the remitter  on the first working day immediately following expiry  of the said period of  seven days.The commision will in no case be refunded.

• Void Money Order:

If payment of a money order to the payee cannot be effected and the amount cannot be repaid to the remitter owing to the latter not being found,the order will become void and its value will be credited to Central Govt.But if the payee or remitter subsequently applies for payment ,the amount of the order will be paid to him on the authority of Postal Accounts Officer provided that application is made before the expiration of one year from the date of issue of the original order:-

The amount of a money order other than a VP money order shall be repaid to be remitter in case the payee is dead: where the remitter or in case of VP money order the payee is dead:the amount of the money order up to 100 rupees shall be paid to the claimant on his executing a personal indemnity bond and for amounts exceeding 100 rupees, and indemnity bond with one surity  shall be obtained from the claimant.

• Exception:- In the case of money orders issued from field post office and family allotment  Mos remitted on behaif of sea men working on Indian Merchant ships ,the limit of time for making such an aplication shall be two years.

• Special Money Order Forms:-

    Certain special types of money order forms have been prescribed for remitting Govt dues and some of them are current only within the limits of the state for which they are issued .These forms can be obtained from the post offices concerned.

• Option Of Post Office:-The Directorate General may,at any time , or group of post offices  of direct that money orders should not be issued except  on  payment of special rates of commision higher than the ordinary rates.

Transmission Of  Money Order  :-

• All money orders are carried by air like letters and post cards without any surcharge wherever such a conveyance and is advantageous.