Can You Use White Out on a Money Order?

A money order is a prepaid financial instrument, similar to a check, but with guaranteed funds. These instruments are commonly used for secure payments, particularly when cash is not advisable and a personal check is not accepted, or when individuals do not have a traditional bank account. Money orders are widely available from various issuers, including the U.S. Postal Service (USPS), Western Union, MoneyGram, and many banks and retailers. They provide a secure method for transferring funds, as they do not expose sensitive bank account or routing numbers, unlike personal checks.

Understanding Money Order Validity

Using white-out or any alteration on a money order is not permissible due to stringent security protocols. Money orders are designed with specific features, such as watermarks and security threads, to prevent counterfeiting and tampering, ensuring their authenticity. Any attempt to modify information, including the payee’s name, the amount, or other critical details, compromises these security measures. Financial institutions, including banks and other entities responsible for cashing money orders, are trained to identify and reject documents that show signs of alteration, such as white-out, erasures, or cross-outs.

The appearance of alterations immediately raises suspicions of fraud or unauthorized changes, leading to the money order being deemed invalid. This strict policy protects both the issuer and the recipient from potential financial crime. An altered money order will be refused for payment, causing inconvenience and delay for both the sender and the intended recipient. Maintaining the money order’s integrity is important for its acceptance and processing.

Handling Errors on a Money Order

If an error is made while filling out a money order, especially in critical fields such as the payee’s name or the payment amount, using white-out or attempting to scratch out information is not an acceptable solution. Such actions will invalidate the money order. The official policy of most money order issuers is that any significant mistake on these documents necessitates cancellation and obtaining a new money order.

While minor, non-critical errors that do not affect legibility or security, such as a slight smudge in a non-essential memo line, might not immediately invalidate the money order, it is always best to avoid any corrections. For errors in key areas, financial institutions will not permit self-correction by the purchaser. If a substantial mistake occurs, the original money order should be considered invalid, and a new one must be acquired.

Next Steps for an Invalidated Money Order

When a money order is invalid due to an uncorrectable error or alteration, the next step is to initiate a refund or replacement process with the issuing entity. Retain the purchase receipt or stub, as this document contains the serial number necessary for any inquiry. Contact the money order issuer directly (U.S. Postal Service, Western Union, MoneyGram, or a financial institution) to inquire about their procedures for voiding or refunding an unused or incorrectly completed money order.

Most issuers require the submission of a cancellation or refund request form, often accompanied by the original money order if still in possession, and a form of identification. A processing fee, ranging from a few dollars to $30, may be assessed for cancellation or replacement services, and the refund process can take a few weeks to 60 days. While having the original receipt significantly expedites the process, some issuers may still allow a claim without it, though additional steps or fees might apply.