A personal money order is a prepaid financial document that is signed and given to a recipient by an individual. Money orders are issued for a specified amount of money. Generally, a personal money order is the type of money order a person might purchase at a post office or grocery store customer service counter. Personal money orders are somewhat like a single-use bank checking account because the person who purchases the money order has control over the money and may place a stop payment on the money order if it is lost or stolen. They usually cost a small fee on top of the value of the money order.

Essentially, a personal money order is like a certified check, but money orders have limits on how much each money order can be worth. This type of money order differs from a personal check because the money is already pre-paid and held for payment, so it is a more reliable means of accepting non-cash payments. Money order value caps are set by the financial organization that issues the money order. If a person needs more than a money order will cover, he can purchase more than one money order.

A personal money order is different from a bank money order, which is purchased by a person but issued and often delivered to the recipient by a banking organization. Bank money orders are more frequently used for international transactions because they can be purchased in the recipient's currency for easy transfer. Normally, personal money orders are issued in the currency handled by the store where the money order was purchased.

Usually, when a person buys a personal money order, he must fill in information about the recipient on his own. In addition to the purchaser's supplied information, a personal money order may also list the money order issuing organization and the amount. Using this kind of money order can be advantagous for situations in which the purchaser of the money order wishes to remain anonymous, like for gift or charity purposes. For anonymity, the person buying the money order can leave his information blank.

Most personal money order issuers recommend that the buyer fill out the recipient information on the money order before leaving the purchasing location. A money order with a blank recipient can easily be redeemed like cash, and a stop payment may be too slow to prevent it from being cashed. Some buyers choose not to fill out recipient information on a personal money order because they want to keep the information private or are purchasing the money order for someone else to use.