Short Answer: You cannot use PayPal to pay for money orders online. However, you can use a PayPal Cash Card to purchase money orders at all USPS locations, many banks and credit unions, and select MoneyGram and Western Union locations. For more information on buying a money order with PayPal, see below.
Can You Buy a Money Order With PayPal?
You cannot buy a money order online with a PayPal account transfer. However, some issuers accept debit cards as payment for money orders; PayPal offers a debit card called the PayPal Cash Card (backed by Mastercard).
About the PayPal Cash Card
The PayPal Cash Card is a debit card that is tied to your PayPal account, and you must have a PayPal Cash Plus account to get a Cash Card. You can load your card through direct deposits, bank transfers, checks scanned through the PayPal app (available for both iOS and Android), and at select cash-loading locations.
PayPal Payment Policies by Issuer
Stores that sell money orders and accept Mastercard debit cards will accept the PayPal Cash Card. You can use a PayPal Cash Card to purchase a money order at the following issuers and agent locations:
All USPS locations accept debit cards as payment for money orders (as previously reported). This means you can use the PayPal Cash Card to buy a money order using your PayPal balance.
MoneyGram and Western Union
We contacted MoneyGram and Western Union agent locations in Massachusetts, Michigan, Arizona, Florida, Georgia, Oregon, Kansas, and Wyoming to find out if they accept PayPal for money orders. None accept PayPal specifically, but some accept debit cards, and at these locations, you can use the PayPal Cash Card to buy a money order. Since policies vary by individual location, you might want to contact your intended location to find out if it accepts debit cards.
Banks and Credit Unions
Most banks and credit unions accept debit cards for money orders (as previously reported). Note that some banks will only sell money orders to account holders.
Our related research details other ways to send money online. For more information about buying money orders, see our lists of the cheapest places to buy them and where you can get fee-free money orders, plus our money order FAQ.