Medallion Signature Guarantee
Medallion Signature Guarantee
What is a Medallion Signature Guarantee?
If you are responsible for dealing with an estate involving North American assets, or you are attending to any other transfer of North American shares or securities, you will usually be asked to provide a medallion signature guarantee (also referred to as medallion guarantees, signatures or stamps). These are a statutory requirement when managing the movement of securities and shares in North America and they act to limit the liability and loss by safeguarding against forged signatures.
Only certain institutions are authorised to provide medallion signature guarantees, and a North American transfer agent will not accept a lesser signature guarantee in place of this, such as a notary stamp or apostille.
They are not the same as surety bonds, although we can help with both.
Despite the fact that there are many financial institutions in North America authorised to provide medallion signature guarantees, it would seem that very few will provide these to the general public and only these few will do so if you are a long standing client of theirs.
It is harder still for residents outside of North America to obtain these, as many banks outside of the US just do not want to take on the risk associated with the guarantee.
How do you obtain a Medallion Signature Guarantee?
Medallions are not easy to obtain if you are a resident outside of the USA. However, we are the first UK based law firm to become a member of the STAMP programme, authorising us to provide the required stamp to our clients.
Various companies have different names for this stamp, which can cause confusion. The following terms are sometimes used: ‘Medallion Guarantees’, ‘Signature Guarantees’, ‘Barcoded Signature Guarantees’, ‘Barcoded Medallion Guarantees’ and ‘Medallion Stamps’.
As the process depends on the particular shares you hold, we ask that you provide details of your investments so that we can give you the best advice for your situation.
Please note that it is not necessary to attend our offices to obtain a stamp, so if you are not local to one of our locations in London, Bournemouth or Southampton, you may use our postal service.
How much does a Medallion Signature Guarantee cost?
Lester Aldridge is able to provide medallion signature guarantees as a stand-alone service for those who are familiar with completing the necessary paperwork to complete a transfer. Where you only require our assistance with stamping papers that you have already completed, the fee is £235 plus VAT per shareholding/ securities account.
Please note that for multiple requests within the same application, we may be able to offer a discount. Please contact us to discuss further if you think this may apply to your application.
Are the fees any different for a deceased estate?
The provision of a medallion signature guarantee forms part of our full service for deceased estates – for no extra cost.
If you require the medallion signature guarantee as part of the administration of a deceased shareholder’s estate, we offer a full service, whereby we attend to the documentary requirements to register the death and collect or transfer North American assets on behalf of executors or administrators.
Where we are instructed under our full service fee structure, there is no additional fee or disbursement for a Medallion Signature Guarantee stamp. For securities valued over US$10,000, our full service fees start as low as £850 plus VAT with the required medallion signature guarantee included as part of the service. Where there is just one shareholding with a value lower than US $10,000, we can offer discounted fees, so please contact us to discuss if this applicable.
How do you apply for a Medallion Signature Guarantee through Lester Aldridge?
To learn more about our medallion signature guarantee services and what we require from you for the application please see our Medallion Signature Guarantee Services page. Alternatively call us with any questions on 01202 786194 or email us by clicking below: