MONEY REMITTANCE SERVICES (Post Office Regulations 2024)

CHAPTER X

MONEY REMITTANCE SERVICES

 

A. DOMESTIC

145. Domestic money order. - (1) Money order (MO) shall be an order issued by the Post Office for the payment of a sum of money to the person in whose name the money order is sent, by the remitter.  

2. The maximum amount for which a single money order may be issued shall not exceed ten thousand rupees and shall not include a fraction of a rupee:

     Provided that total amount remitted through retail money order to a person in a month shall not exceed twenty-five thousand rupees.  

3. A commission payable on the issue of money order shall be charged at the rate as mentioned in Table I of Schedule V.    
4. The remittance of money through money order shall be made free of charge without payment of commission thereof for transmission of amount of contribution to the Prime Minister’s Relief Fund, PM CARES Fund (Prime Minister’s Citizen Assistance and Relief in Emergency Situation Fund) or Chief Minister’s Relief Fund, or any other such fund as may be notified from time to time.
5. Nothing in sub regulation (3) shall prevent transmission of service money order free of charge as may be specified by administrative instructions from time to time.        

146. Period of currency of money order. - The currency period of the money order shall expire upon the end of the last day of the second month following the month of issue.  
147. Categories of money order.- The money order shall be booked under the following categories, namely: - 

1. retail money order under which money shall be remitted from a person to another person within the country;  
2. bulk money order under which money shall be remitted in the following cases: -

1. where money is remitted by one person to many persons; or  
2. where money is remitted from many persons to one person; and

3. service money order under which money shall be remitted for departmental or official purposes.  

148. Booking of money order.- (1) The money order form as specified by administrative instructions, duly filled in by the remitter, together with the amount of the money order  and the commission payable and in case of money order  referred to in of clause(b) of regulation 147 along with a valid identification proof, may be submitted by the remitter for availing the money order  service.  

(2) A receipt shall be given to the remitter for the amount paid by him on account of the money order and the commission thereof.  

149. The remitter of a money order shall be entitled to obtain, free of charge,-

1. an electronic intimation of the payment of the amount of the order in shape of short messaging service or any other digital mode; and  
2. a certificate of payment on the request of the remitter, subject to such request being made within three months from the date of booking.  

150. Payment of money order. - (1) The payment of a money order shall ordinarily be made at the address of the payee -  

1. to the payee; or
2. to any person authorised by the payee.

(2) If the payee of a money order is a minor or illiterate, or his physical or mental condition is such rendering him incapable of providing acquittance of having received the money, then the identity of the payee for the payment shall be verified in such manner as may be specified by administrative instructions by the Director General from time to time.

151. Redirection of money order. - (1) A money order may be redirected to another address of payee, free of charge, if the payee makes a request, as specified by administrative instructions along with the proof of identity.  

2. No alteration in the name of payee shall be permitted in the money order.
3. A money order may be stopped and returned to the remitter, free of charge, if the remitter makes a request, as may be specified by administrative instructions, until the delivery post office issues it to the postman for the delivery, and in such a case, the amount of the money order, excluding the commission thereof, shall be refunded to the remitter.
4. In no case, the Post Office shall be responsible for inability or failure to stop payment of a money order as per remitter’s request.
5. If the payee of a money order refuses to take payment on its presentation to him, the amount of the money order shall be returned to the remitter excluding the commission thereof:

     Provided that if  the payee who is unable to take payment on its presentation to him, makes an application, as may be specified by administrative instructions for retention of the money order or the payee is not found at the address given on the money order, the money order shall be retained in the post office for a period not exceeding seven days from the date of its presentation to the payee, or from the date it is sent out for payment, as the case may be,  and if the payee fails to take payment of the money order from the post office within the said period of seven days, the money order shall be returned to the remitter on the first working day immediately following the expiry of the said period of seven days.   

6. If the payee of money order is dead, the amount of the money order shall be returned to the remitter:  

     Provided that the remitter of money order is dead, the amount of money order shall be paid to the legal heir of the remitter, as may be specified by administrative instructions.

152. Exemption from liability of Post Office in respect of money order. – (1) The Post Office shall not be responsible for the wrong payment of a money order by incorrect or incomplete information given by the remitter as to the name and address of the payee. 

(2) After a money order has been paid, to whosoever it is meant for payment, the Post Office shall not be liable to any further claim.  

153. Undelivered Money Order. - The undelivered money order shall be returned to the remitter and the amount of the money order shall be paid to the remitter excluding the commission thereof. 
154. Void money order. - When, for any reason, a money order remains unpaid, either to the payee or the remitter, at the end of the second month following the month of its issue, it shall be treated as void by the office of issue.  
155. Forfeiture of money order amount. - The amount or value of money order unpaid beyond three years from the date of booking shall be forfeited and after expiry of the said period, such amount or value shall be treated as revenue to the Government of India.  
156. Suspension of service. - The services of money orders by any particular post office, or group of post offices, in special circumstances, may be suspended by the Circle Head, by order in writing.  
157. Postal order. - (1) The amount for which a single postal order may be issued shall be in the denomination of ten rupees, twenty rupees, fifty rupees or one hundred rupees.

2. The amount for which an electronic -Indian postal order shall be issued is ten rupees.
3. The commission charged in respect of a postal order shall be as mentioned in Table II of Schedule V.    
4. Broken amounts may be made up by affixing unused postage stamps, not exceeding four in number on the face of the postal orders, or where the space on that side is not adequate on the reverse thereof:

  Provided that the total of stamps affixed on each order shall not exceed nine rupees and the total amount payable on the order shall not exceed one hundred rupees.  

5. The person to whom a postal order is issued shall, before parting with it, fill the name in English or any other language mentioned in Eighth Schedule to the Constitution and is recommended to fill in the name of the office of payment as a precaution against the order being lost or stolen.
6. Even where a postal order is crossed with a view to the payment through a bank, the name of the payee shall be filled in.

158. Currency period. - (1) The postal orders presented within twenty-four months from the last day of the month of issue, are encashable without second commission.  

(2) Where postal order is not presented for payment within twenty-four months from the last day of the month of issue, a second commission at the rate mentioned in Table II of Schedule V, shall be charged, which shall be paid in postage stamp affixed to the back of the postal order or through cash receipt. 

159. Forfeiture. - A postal order presented beyond thirty-six months after the last day of the month of issue shall be forfeited and shall not be paid. 
160. Repayment of postal order.- (1) The purchaser of a postal order shall, within twenty-four months from the last day of the month of issue, be entitled to obtain repayment of its value, but not the commission, on presenting the postal order and the counterfoil at the post office from which the postal order was purchased. 

2. The purchaser shall also be entitled to repayment of its value after twenty-four months but not after thirty-six months from the last day of the month of issue, provided a second commission at the rate as mentioned in Table II of Schedule V, is paid.
3. Should the order have been crossed for payment through a bank, the purchaser shall first cancel the crossing by writing across the face of the postal order the words “please pay cash” and add his initials.  
4. After a postal order has once been paid to the payee, the Post Office shall not be liable for any further claim.

161. Payee's name essential. - A postal order shall not be paid even though presented for payment by a bank unless the name of the payee is inserted in the body of the postal order. 
162. Payment through bank. - If a postal order is crossed, payment shall be made only through a bank, and if the name of the bank is added, payment shall be made only through that bank. 
163. Payment of crossed postal order. - If a postal order which is crossed with or without name of the bank, is presented for payment by or through a bank, with the name of such bank written or stamped upon the face thereof, that name may be accepted as a sufficient receipt for the amount of the postal order, and the postal order may be paid without any other receipt. 
164. Mutilated postal orders. - If any erasure or alteration is made, or if the postal order is cut, defaced or mutilated, payment thereof may be refused. 
165. Electronic postal order. - The provisions mentioned in sub-regulation (2) of regulation 157 and regulations 158 and 159 shall apply mutatis mutandis to the electronic postal order.  

 

B. INTERNATIONAL

166. Foreign money orders.- (1) Foreign money orders shall be of the following categories, namely: -

1. electronic money order; and  
2. Pos transfer through International Financial System or Universal Postal Union Interconnection Platform (UPU-IP).

2. The countries and territory with which money orders of each kind are exchanged by entering into bilateral or multilateral agreements, shall be such as may be specified by administrative instructions from time to time.
3. The foreign money order agreement with partner postal countries or territories may be activated or deactivated by the Central Government.  
4. Every foreign money order shall be booked on the payment of the amount to be remitted along with the fee for the service as may be specified by administrative instructions from time to time.
5. The operational and other general conditions for exchange of foreign money orders between two partner countries or territories shall be determined by the Central Government from time to time.  
6. The maximum and minimum amount, and number of remittances made by a remitter through money orders in a calendar year shall be such as may be specified by administrative instructions from time to time.  

167. Advice to remitter of foreign money order. - The remitter of a foreign money order shall be entitled to receive an advice of its payment by paying a fee as may be specified by administrative instructions and such fee shall be in addition to the fee chargeable on the foreign money order.  
168. Remitter to change name or address for payment. -  (1) The remitter of a foreign money order may, by payment of second fee,  change the name or address of the payee, until the money order is paid at the destination, as per the conditions as may be specified by administrative instructions from time to time.  

2. The remitter may stop the payment of the foreign money order, if not paid, and may request that the remitted amount be returned to them as per the conditions as may be specified by administrative instructions from time to time.  
3. The Post Office shall, in no case, be held liable for inability to fulfill the request of the remitter under sub-regulations (1) and (2), but, in such cases, the second fee shall be refunded.

169. Inward foreign money orders. - (1) The payment of inward foreign money orders shall be as provided for domestic electronic money orders, except otherwise specified by administrative instructions.  

2. A foreign inward money order, being undeliverable, shall be returned to the country or territory of origin.  
3. A foreign outward money order, on being returned by the country or territory of destination as undeliverable, shall be returned to the remitter.  
4. In the event of inability to return the money order to the remitter, money order shall be dealt with as per the relevant provisions of regulations 154 and 155.