Medallion Stamp Program

Medallion Stamp Program

A program approved by the Securities Transfer Association that enables participating financial_institutions to guarantee signatures. The Medallion programs ensure that the individual signing the certificate or stock, power is in fact the registered owner as it appears on the stock certificate or stock power. Any U.S. financial institution that belongs to a Medallion Stamp Program can provide Medallion guarantees. Such institutions include banks, savings and loans, credit unions and U.S. brokerages.

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Medallion Stamp Program

Security Transfer Agents Medallion Program (STAMP) inc. In securities transactions, a non-profit organization ? endorsed by the Securities Transfer Association ?whose members guarantee that the signature(s) of the seller(s) of a security is in fact the signature(s) of the person(s) authorized to sell that security. The guarantee is backed by an insurance policy and protects the buyer from any financial loss as the result of securities fraud. It reduces risk to buyers and allows securities transactions to be processed immediately. The guarantor is a bank or other member firm of the Securities Transfer Association, and SEC regulations provide for the existence of STAMP and similar programs. See also: Stock Exchanges Medallion Program (SEMP), New York Stock Exchange, Inc. Medallion Signature Program (MSP).