Background
A U.S. Postal Service money order is a financial document similar to U.S. currency and is sold by Postal Service window clerks. Customers can purchase money orders for a fee in varying amounts and redeem them at any post office. Although the Postal Service categorizes money orders as market dominant products, they can be purchased from certain commercial banks and money transfer agencies such as Western Union and MoneyGram. The maximum amount for a single Postal Service, Western Union, or MoneyGram domestic money order is $1,000.
What We Did
Our objective was to assess Postal Service money order trends and initiatives to increase future cost coverage. To achieve our objective, we interviewed Postal Service personnel and evaluated money order prices, cost coverage, and volume data trends.