Batboard

Hi everybody.
Has anybody ever had any trouble with a US bank charging a fee to cash a Canadian postal money order? Or, on the other hand, has anybody ever recieved a Canadian postal money order and been able to cash it without a fee being charged?
I am dealing with a person on the board now, he is telling me that his bank is charging him $25 to cash a Canadian postal money order. I have sent lots of Canadian postal money orders to US people, both here and on Ebay, and have never heard back of fees being charged to cash them. I have recieved US money orders and cashed them at my bank here in Ontario, without a fee being charged.
If there is a fee involved in cashing a postal money order from Canada, I wonder if we should be using money orders from the bank instead for international deals? Its just that I have been using postal money orders for years, and have never heard of problems before.

Thanks, Randy

Since you have taken this question to a open forum I feel like I can freely respond in the open as well for the purposes of educating other buyers and sellers about international sales. Yes, I have seen this occur and it is occuring right now in my deal with you. I have no issues dealing with foriegn buyers. In fact, if paid via PayPal I will ship immediately and most of the time that will be the same day. In this case, when I took your money order to the bank I was told that it would be sent to collections, that a fee of $20.00 to $25.00 would be charged, and that this could take sometime to complete. The bank stated up to 6-8 weeks. (Even though the form states 4-6 weeks as you can clearly see)

I am honest and above board in all of my dealing here and have no problem respoonding in a open forum. In fact, I have no problem posting the paperwork I recieved from the bank yesterday (Minus my account numebr of course) showing what I recieved.

I think this is moving rather quickly considering I just recieved the Money order in the mail YESTERDAY, AND I WENT TO THE BANK WITH IT THE SAME EXACT DAY!!! I am not sure how much more can be expected. Your goods will be shipped as soon as the funds clear. I don't feel this is unreasonable due to the amount of fraud that has occured with even Goverment Money Orders.

Furthermore, I accepted the $25.00 fee from the bank without hesitation as part of doing business with you. Sorry this will take a little more time, but frankly it is part of doing international business. Since you must feel you are getting scammed otr put off in this situation, I freely invite you to contact the financial institution and here what they have to say. (281) 488-7070


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Uh... this may be a silly question, but wouldn't one take a Canadian International Postal Money order to a US Post Office to cash it, in the United States?

akardam wrote:Uh... this may be a silly question, but wouldn't one take a Canadian International Postal Money order to a US Post Office to cash it, in the United States?

I have never done that as I have always treated them as a check with bank deposits. This is actually the first Canadian Post Money order I have dealt with and was slightly suprised by the wait myself. I figured a couple of days to clear. I frankly was shocked when I was told it would be a longer wait.

They work fine as bank deposits. I've had a couple... Chase charged no fees... but it did take about two weeks to collect each time.

Washington Mutual allowed me to just deposit it into my checking account, no collection no nonsense.

However my credit union did want to charge a collection fee, actually they wanted $200 to collect to a $140 money order.

txshooter wrote:I have never done that as I have always treated them as a check with bank deposits.

As you discovered, banks treat these (like they do to bank money orders) like any other international cheque. In the future, bring postal money orders (not bank money orders!) to any US Post Office, then you get your money immediately. Its always worked flawlessly in both directions for me, and no one's ever charged me a fee for cashing them...

boomboy64 wrote:

txshooter wrote:I have never done that as I have always treated them as a check with bank deposits.

As you discovered, banks treat these (like they do to bank money orders) like any other international cheque. In the future, bring postal money orders (not bank money orders!) to any US Post Office, then you get your money immediately. Its always worked flawlessly in both directions for me, and no one's ever charged me a fee for cashing them...

I will definatley do that next time I accept a money order from CANADA POST. This is simply why I have always done business with PAYPAL with my Canadian Friends. Yes, I take the 3% or so hit from Paypal, but the moeny is in my account immediately and I can ship immediately. Ity also makes it easier to do the customs form as I can print it all out in the shipping with Paypal. In fact, it makes it so easy I don;t even have the oppurtunity to make a mistake with a foriegn address. Any mistake on the address with paypal would be the buyers responsibility.....

Thanks everybody for responding.

Scott, I did not want to take our business public, I simply wanted to know if anybody else has had trouble with Canadian postal money orders. I never mentioned your name in this post. It seems that your 20 to 25 dollar fee is a financial institution thing with your bank, and I am sorry that you had to take that hit. I have honestly never heard of that problem before, and have cashed money orders from the states without issue at my bank.

My issue as you know is that you have told me that you will not ship until the money order clears, which as noted could take from 4 to 6 weeks. I kind of expected that as I trusted you enough to send you a money order, you would trust me enough to ship once you have recieved it. We both have been on this board since around 2002, I think. I guess that I have no choice now but to wait until you decide to ship. No prob, I just didnt expect an up to 6 week delay in the conclusion of our deal, plus actual shipping time after that. Of course I am not happy when "issues" arise in the middle of a deal.

Randy

this is one of the exact reason i don't deal with canada, my bank charges a $15-$25 collection fee to deposite canadian money orders and it does take a couple weeks to go thru. the only place around here that i found that won't charge a collection fee is the international bank at the Indianapolis airport but it still takes a couple weeks to go thru. so the answer to the original question posted is it's not uncommon for us banks to charge a collection fee. And everyone i tell this to in canada don't believe it and they insists that i'm lying and trying to scam them and they want their items but i'm simply waiting for it to go thru. now the only way i deal is with us postal money orders and i get them cashed at the same time the items go out. i'm actually really glad that somebody has mentioned this now, i'v had things listed on here and people get real upset when you tell them why you won't ship to canada and still don't believe our banks do that.

as long as it's the PINK interternational MO (in US dollars), your local post office will cash them.

they may have to look at the manual to get the computer to take it - but it will... just be persistent.


no fees either.




doug

Nice to know in the future. Again in the middle of the transaction I said paypal preffered. I would not have even charged the 3% that paypal charges me. I find it's much easier to do that on international sales.

Rest assured Randy will recieve what he has paid for.

escomm wrote:Washington Mutual allowed me to just deposit it into my checking account, no collection no nonsense.

However my credit union did want to charge a collection fee, actually they wanted $200 to collect to a $140 money order.

It sounds like it's an issue with credit unions.


On a side note... Your credit union must have some time travelers. I don't know if anyone else noticed the form is dated "7-12-07", unless this is when it is expected to clear.

LuiePL wrote: It sounds like it's an issue with credit unions.


On a side note... Your credit union must have some time travelers. I don't know if anyone else noticed the form is dated "7-12-07", unless this is when it is expected to clear.

No, I did not even notice until you pointed it out. Went to a brand new branch, so I am sure it is someone new!!!

txshooter wrote: I would not have even charged the 3% that paypal charges me.

You do realize this is a good way to get your paypal account banned and any funds in it frozen, right?

Why would it be?

If the seller chooses to take the 3% hit himself, why should Paypal care? If I sell you something for $100, paypal is going to want $3. So instead of making $100 on the deal, I would only make $97. At the end of the deal, Paypal is still getting every penny they would be entitled to.

bellersley wrote:Why would it be?

If the seller chooses to take the 3% hit himself, why should Paypal care? If I sell you something for $100, paypal is going to want $3. So instead of making $100 on the deal, I would only make $97. At the end of the deal, Paypal is still getting every penny they would be entitled to.

Because it's in the Paypal rules that this is not allowed, even though it seems reasonable enough. They consider taking that hit the price of doing business with the convenience of Paypal. Just like the credit card companies consider their fee to be the price of doing business for the merchants. That 5% is why some places don't take credit cards.

Bottom line: don't talk openly about charging that Paypal 3% and hope nobody reports you for it if you do. (I know, you never said you do, just that you wouldn't have. My comments here are general, not specific to your situation.)

Alright. This has gone offtopic 6 ways to Sunday.

Like Doug and I said, if you prefer to use International Postal MO's between US and Canada, get 'em and cash 'em at the post office, and make sure when you get it that it's clear it's going across the border to be cashed there.

Locked.