What Does Memo on a Money Order Mean?

At a post office, you would buy a money order with cash.
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A money order is a safe and guaranteed form of payment. Using a money order is convenient if you don't have a bank account or just want to maintain the confidentiality of your checking account. Money orders can be obtained for a minimal fee at many locations, including the post office, most banks, and even retailers such as Walmart. There are standard sections to fill out on a money order such as payee, amount and date as well as a memo line. The memo line can be left blank; however the purpose of the line is so you can note what the money is for.

What to Include on the Memo Line

Use the memo line on the money order to note the exact reason or purpose of the payment. For example, list "September Rent, Apt. 105," "Jane Smith, Medical Bill Acct. 12345" or "2014 Fall Tuition, Student 12345, John Smith" to ensure your payment is applied correctly by the payee. By noting your name, account numbers or applicable dates, you decrease the risk of your payment being misapplied. If the money order is a gift for someone, note "birthday present" or "wedding gift" or leave the memo line blank for the recipient to fill in later.

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