John James or Nick Bass...online usps money orders???

[GOLDENSERPENT]

Chance actually I think it has something to do with back charging or something. The pin code being used is just like a signature, I am assuming that that is why but I could be wrong.
Jewell

 

[Pink Lady Exotics]

I actually just asked our postmaster this yesterday since I use a lot of USPS money orders for buying snakes. He said there are multiple reasons why they don't accept credit cards for money orders. One is because credit cards only require a signature to be used -- that is easily forged and faked. Debit cards require a pin number, which most thieves probably won't have if they just swiped the person's card without knowing them. Another reason is that it would allow the person to get a cash advance from their credit card without paying the fees from the card company -- which is illegal to do. The same rule applies with PayPal if you send money to someone using your credit card, then they send it back to you -- not refunding it, because it would go back to the credit card, but sending it as a payment back to you so you get the money. PayPal considers this an illegal cash advance and will ban you for it.

The other reason the postmaster gave me is because of credit card processing fees and rejection fees. Credit card companies charge a processing fee of anywhere from 3%-7% of the purchase total -- which gets taken out of the money that the USPS would recieve. This is why many employee-owned places and co-ops won't take credit cards either -- the Woodmans chain of grocery stores up here won't do take them because they won't pay the fees. The USPS would also get charged a rejection fee if the submitted total gets bounced back by the credit card company for going over the card limit or going to a card that was cancelled/closed.

Basically all of the above reasons are just too much hassle for the USPS to deal with and can cost them money, so they don't do it. Debit cards don't have a processing fee to use, require a pin number which is safer, and if the money isn't there, they would be rejected immediately at the time they are run through the machine instead of bounced back later (after the person is long gone with the money order).

 

[crotalusadamanteus]

They don't always ask for ID when using a debit card. I've never had them ask to see any ID.

This is so true. I use mine all over the Southwest and rarely get asked for ID. In fact, on the signature line on the back it says, "ASK FOR ID" and they look at it, and swipe the card without asking 95% of the time.

I guess they work at convenience stores and gas stations for a reason.

 

[JudyC]

This paragraph right here pretty much nails the coffin on that scam:

Due to the fact that United States Postal Service processes thousands of Orders daily, United States Postal Service RECOMMENDS contacting the Customer Support Representative that has been assigned to this particular Order directly. This ensures speedy verification of shipment as well as prompt dispatch of Money OrderSM. Send shippment tracking details to : [email protected]

First off, if it were a legitmate USPS operation...they'd be using usps.gov addresses. Secondly, they try to make sure that you DON'T actually contact the post office. Oh no...they're way too busy....but THIS guy knows exactly what's going on, so send him an e-mail. Yeah....right.

What's unclear in all of this is whether the buyer got scammed himself into purchasing a fake money order...or whether he set up the whole fake money order thing himself. I rather suspect the latter, and wonder if there are businesses out there... "consultant.com?"....where you pay them $25 to cook up a fake e-mail that looks legit in order to scam someone out of money like this. Scary stuff....and proof that we need to always be vigilant against anything that doesn't quite look right when it comes to Internet money exchanges.