Money orders were first started in 1792 by three Post Office clerks, with the idea that they would be of service for sending small sums safely to soldiers and sailors. The business gradually extended, and in 1838 was taken over by the Government.

The charge for remitting was at first eightpence in the pound; but it has been reduced from time to time, the last reduction being made only a few months ago. It now stands as follows:—To remit to any place in the United Kingdom any sum not exceeding a pound costs 2d.; from one pound and not exceeding two pounds costs 3d.; from two pounds and not exceeding four pounds costs 4d.; from four pounds and not exceeding seven pounds costs 5d.; and from seven pounds to ten pounds you have to pay 6d. No single order is issued for more than ten pounds; but if you have to remit, say, thirty pounds, it is an easy matter to get three orders.

To get a money order, the first thing you have to do is to fill up an “application form,” to be had gratuitously at all money order offices. All post offices, by the way, are not money order offices. Here is a form filled up:—

Money Order Required
For £9 2s. 3d.
Payable at Pepperness.
To Miss Flora Sprat.
Sent by Esmeralda B. G. Constable.
Residing at Grumblethorpe.

The amount of the order required, along with the commission—the total in this case would be £9 2s. 9d.—is handed over with the form to the postmaster, or whoever is acting for him. No order may contain a fractional part of a penny. To make an order more secure, it may be “crossed,” just as we mentioned could be done with cheques. In that case it is payable only through a bank.

When a money order is to be paid in London, or in any other town where there are more money order offices than one, the sender should say at what particular office she wishes it to be paid. Should she not do so, and only say, “Payable at London,” or “Manchester,” or “Edinburgh,” the receiver of the order will get payment at the head office in the town only.

As a precaution against dishonest people, it is recommended that when the sender of the order is well known to the receiver, the letter enclosing it should be signed with initials only. When she is not well known, safety may be given to the order by making it payable ten days after date, or by having it crossed like a cheque, or by registering the letter containing it; or the name of the sender may be sent in a separate letter from that containing the money order. If ever you make a money order payable ten days after date, you must on obtaining it affix to it, in the presence of the postmaster, a penny adhesive stamp, and write your signature across the stamp.

When an order is presented for payment, the person presenting it is asked “Who sent this order?” and if this question is correctly answered, and the order is properly receipted, the sum is at once handed over, “unless the postmaster have good reason for believing that the applicant is neither the rightful claimant, nor deputed by him or her.”

Money orders are not only to be obtained for places in the United Kingdom. They are also issued on France, Belgium, Switzerland, Germany, Italy, Holland, Denmark, Norway, Sweden, the United States, and several other foreign countries, and on most of the British colonies and foreign possessions. The rates of commission charged for these foreign money orders are—For sums not exceeding two pounds, 6d.; from two pounds to five pounds, 1s.; from five pounds to seven pounds, 1s. 6d.; and from seven pounds to ten pounds, the highest limit of a single order—2s. The regulations affecting foreign money orders may be seen in the useful Postal Guide, which is published, as we mentioned in our first article, once every quarter.

There has been a considerable falling-off of recent years in the number of inland money orders issued, colonial and foreign orders having, however, on the other hand, increased in number. The decrease has been brought about by the introduction of postal orders, as they are called, which have been found much more convenient in some respects, not to speak of their being, for small sums, decidedly cheaper.