Throughout your life, you have probably learned a lot about money and finances. In school, you are taught all about how cash works and how to use it. You were also probably taught how to fill out a check.

However, you may not have learned much about a form of payment that combines cash and checks. It's called a money order, and it can be very helpful.

Remember when you were watching TV and one of those commercials came on trying to get you to buy something right then and there? At the end of the commercial, they probably said something like, "Send your check or money order to:" To many people, "money order" is somewhat of a vague phrase.

Money orders offer you an easy, reliable way to make purchases and pay bills. The biggest benefit to a money order comes if you don't have a checking account. Even if you don't have a checking account, you can use a money order just as you would use a check to make a purchase or pay bills.

Basically, a money order is a pre-specified amount of money that you can use as a payment option. It differs from a check since it is paid for in advance and therefore can't bounce or overdraw anyone's account. Because of this extra security, many merchants would rather receive a money order over a personal check.

When you want to get a money order, there is a process that you need to go through. The first thing you need to do is to know exactly for how much you need to make the money order. This is important so that you can obtain the right amount of money that you need to pay for it. Money orders can be paid for with cash.

Most places will also take debit cards or traveler's checks, and there are some places that that will accept credit cards. You should find out what the accepted form of payment is before you buy your money order.

You can buy a money order at many different locations around town. U.S. post offices, the majority of banks, numerous grocery stores, a lot of convenience stores, and check-cashing businesses will offer this service. There are also places on the Internet that will provide money orders.

The biggest thing to be careful of when you're looking for a money order is to find a place that doesn't charge you anything extra for the service. There are a lot of companies that will charge you anywhere from 50 cents to $200.00 for using their service, so it would be in your best interest to find one that doesn't charge you, and they are out there.

The last and most vital thing to remember after you have purchased a money order is to fill it out immediately. If a money order that you didn't fill out was lost or stolen, it's just as if you lost cash and there is nothing you can do.

But if you did fill out the slip, only you or the recipient that you wrote down are eligible to cash the money order. It is no good to anyone else. When filling out your money order, be sure to follow the directions carefully. Always use a pen and fill out both sides completely.

You will be given a receipt after you have filled out your money order. In order to completely protect yourself, it is imperative that you keep this receipt.

If the intended recipient of your money order claims they never received it, or if it was lost or stolen, there is a phone number on the receipt that you can call for help. You can also go into the place where you originally got the money order and find out the status.

One last thing to look for when getting a money order is to find a company that is a trusted and recognized name. Western Union is one of the most recognized names in the industry with a proven 150 year record of service.

Money orders can be very useful financial tools when used properly. They sure are a great alternative to carrying around large sums of cash. Money orders are safe, secure and reliable, so don't be afraid to use them when the need arises.