Q:

What is a Medallion signature?

A:

Quick Answer

A Medallion signature is the guaranteed signature required before an owner of securities in the form of a physical certificate can sell or transfer them. The process of getting a Medallion signature helps to keep securities safe from being transferred illegitimately with a forged signature.

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Full Answer

Transfer agents heavily suggest getting signature guarantees because then the agents are limited in liability in the event of a transfer done with a forged signature. Transfer agents may refuse to honor a signature guarantee done outside of a recognized Medallion Signature Guarantee program. There are three Medallion Signature Guarantee programs: the Securities Transfer Agents Medallion Program, the Stock Exchanges Medallion Program and the New York Stock Exchange Medallion Program.

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Related Questions

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    What does the Medallion signature guarantee mean for Bank of America?

    A:

    The Medallion signature guarantee means that Bank of America participates in the Medallion signature guarantee program; this process of verification helps deter fraud on the transfer or sale of securities. Signature guarantees are used for securities exchanges to limit liability for transfer agents in case documents are forged.

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    What is a gold medallion signature guarantee?

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    A medallion signature guarantee, sometimes referred to as a gold medallion notarization, is a special signature guarantee required for the sale or transfer of securities. It is the issuing financial institution’s certification that a signature related to the sale or transfer is authentic, according to the American Society of Notaries.

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    What is a Medallion Signature Guarantee?

    A:

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    How do you get a certificate of trust form?

    A:

    Obtain a certificate of trust form by using an interactive online legal document tool such as the one offered by Rocket Lawyer or by downloading a free form from a legal assistance site such as NOLO.com or USLegalForms.com. Many states also offer free certificate of trust forms on their websites.

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