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Which Of The Following Payment Types Require You To Pay Upfront?

Which Of The Following Payment Types Require You To Pay Upfront?

which of the following payment types require you to pay upfront?

Question: Which Of The Following Payment Types Require You To Pay Upfront? 

A). Merchant card & pre-paid orders

B). Merchant cards & credit cards

C). Money orders & pre-paid cards

D). Money orders & credit cards

Correct Answer: Money orders & pre-paid cards. 

Detailed Explanation Of  Which Of The Following Payment Types Require You To Pay Upfront?

Payment Types

The payment which requires you to pay upfront is Money orders & pre-paid orders. It is because paying for credit cards and merchants cards is not necessary at the beginning. 

On credit cards, you can use the card for shopping only for a limited range, and then you need to pay the amount monthly. Here, you don’t require to pay anything at the initial but at the last.

However, this is not the case with money orders and credit cards. A money order is a safe alternative to a personal check or cash. Let’s know more about the same in detail.

How Do Money Orders Work?

How Do Money Orders Work

A money order is a correct idea when cash or a check won’t cut it. But you need to prepay for the money order at a location such as a U.S. post office. 

Many times, personal checks are not accepted as payment, So, in this case, you can use a money order to pay the bills. This is a guaranteed payment which you can buy at places such as the post office and Walmart. Now, let’s know the steps to buy a money order.

i) Have Everything You Require:

To buy a money order, you need to be prepared with the cash or your debit card, payee, and also the amount you are willing to send. To avoid extra charges, you can avoid using a credit card. 

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Which Payment Type Can Help You Stick To A Budget?

ii) Fill It Out:

You need to mention your name, address, the name of the payee, and sign the money order. Now, you must be very careful of all the information you have inserted because it cannot be changed later on.

You can also learn the proper way to fill out the money on YouTube and read the instructions step by step for the same.

iii) Keep The Receipt:

The receipt will be a duplicate copy of the money order recording the data listed on the money order. This is also vital and the step you need to consider for a money order.

iv) Track Your Money Order:

The receipt will get a tracking number for the verification of the money order. However, if any issue arises with the same, then you need to contact the place where the verification of the money order has been done.

The Final Thoughts 

“Which of the following payment types require you to pay upfront?” the answer to this question is money orders and pre-paid orders. The above-listed reason will help you to know why. Besides, if you have any doubts regarding money orders or pre-paid orders, let me know in the comment section below.

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