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  • Category: Central Government

    What is Indian postal order and what are its uses?

    Indian postal order and its uses, How to use Indian postal order to buy products? How to en-cash Indian postal orders?

    What is Indian postal order and what are its uses? Is it like currency notes? Can it be used for buying products? Earlier in many cases application fees was required to be paid through Indian postal orders. Has the said practice been stopped totally. How the Indian postal orders are encashed by the organizations which receive it?
  • #137524
    What I say here is from historic experience. I have not enquired in Post Offices now. I have not heard anyone or anywhere mentioning about Postal Orders. So I am not aware of current status, but take that practically they are not in vogue. With all modern facilities of net banking even bank drafts are used almost practically negligible.

    Postal orders were in common use when the banking habit was not there and not all especially students and job seekers were not having bank accounts and going to banks. Post offices had better and more network in rural areas and small town then than the banks. As courier service was also not there people used post offices for many things.

    Postal orders were the countertypes of bank demand drafts. However unlike the bank drafts, the details were filled in by us in postal orders.
    They were denomination marked and one may have to buy more than one for postal order for making the correct amount of fees. The fees were also very less then . One has to go to post office and ask for postal orders for the particular amount. The post office will issue the postal orders for needed amount in available denominations as one or more affixing their date and stamp. If specifically asked for 'crossed' they may put two crossing lines on the left corner. The commission at prescribed rates also will be collected.

    The postal orders thus brought will be filled with the beneficiary's name by us and then enclosed with the relevant application forms giving details of it at relevant place and mailed to the proper destination.

    The receiver will collect all such postal orders and then encash it at the post office at his place.

  • #137549
    Indian Postal Orders are the means of remitting money from one place to another through the post office. They used to be useful in transferring the small amounts like the application fees for the government services. The amount is to be paid at one post office and is paid to the recipient at the destination post office.

    The IPOs are available in the denominations of Rs. 1,2,5,7,10,20, 50 and 100. While making payment through the IPO, you will need to fill in the details of the recipient. The specific details include Name of the payee and the post office at which the payment is to be made.

    I am not sure the IPOs exist now. They were in wide usage earlier. They were specifically the mode of payment while applying for the government jobs.

    The IPOs were valid for a period of two years from the date of issue. You could claim refund for the IPOs that remain unused.

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  • #137551
    This is a rejoinder to my answer above. Today I visited a post office and asked if postal orders are still in use. I got the answer that postal orders are still in use and available. They are now mostly used for fee payment with the RTI applications.
    It is again confirmed by me as I saw a tender invitation notice by Oil India Limited, wherein it was given that "Tender fee can also in the form Indian Postal Orders payable to the OIL INDIA LIMITED at
    Duliajan.". It also added that " of issue of tender fee must not be prior to 30-06-2016..."

    So the answer is that Indian Postal Orders are still in use and available.

  • #137758
    Indian Postal Orders (IPOs) are still very much in use, particularly in rural areas and transactions in Government offices. The IPOs are basically like Bank Demand Drafts (DDs)-a means to transfer money through Post Offices.
    Everyday I notice at least 4-5 IPOs in my Office along with RTI applications and in some cases as tender fees.

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