How to Sell Stock Certificates
Know what a transfer agent is., Identify the transfer agent for the company with which you own stock., Transfer the stock to direct registration., Sell your stock shares.
Step-by-Step Guide
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Step 1: Know what a transfer agent is.
Publicly traded companies use transfer agents to manage individuals and organizations who own shares of their stock.
Usually, the transfer agent is a bank or trust company.
Sometimes a very large company, like Walt Disney, acts as its own transfer agent.
Transfer agents perform three main functions: issuing and canceling stock certificates; acting as an intermediary for the company to pay out interest and stock dividends; and handling lost or destroyed stock certificates., Visit the investor relations page of the company’s website.
This will direct you to the company’s transfer agent in most cases.
You can also visit the Securities Transfer Association.
This is a private trade organization of transfer agents.
They provide general information about the functions of transfer agents., Call the transfer agent and ask for instructions on how to transfer the stock to direct registration.
The Direct Registration System (DRS) allows owners of stock certificates to hold their shares in book entry-form with the transfer agent instead of as a physical stock certificate.
Book-entry means that the transfer agent keeps a record of your ownership of the stock in its books.
This replaces the physical stock certificate.
Once you have done this, you can easily sell the stock at any time.DRS protects you from fraud and other risks associated with paper certificates.
It also saves you money because it eliminates the cost of storing, printing and insuring paper certificates.
You will have to mail the stock certificates to the transfer agent.
Send them via insured mail with tracking information., It will take the transfer agent approximately 10 days to transfer your paper stock to DRS.
Once this is complete, you can sell the shares at any time.
When you are ready to sell, contact the transfer agent and tell them to sell.DRS allows you to sell the stock quickly without the delays of handling the physical stock certificate, allowing you to take advantage of positive changes in the market. -
Step 2: Identify the transfer agent for the company with which you own stock.
-
Step 3: Transfer the stock to direct registration.
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Step 4: Sell your stock shares.
Detailed Guide
Publicly traded companies use transfer agents to manage individuals and organizations who own shares of their stock.
Usually, the transfer agent is a bank or trust company.
Sometimes a very large company, like Walt Disney, acts as its own transfer agent.
Transfer agents perform three main functions: issuing and canceling stock certificates; acting as an intermediary for the company to pay out interest and stock dividends; and handling lost or destroyed stock certificates., Visit the investor relations page of the company’s website.
This will direct you to the company’s transfer agent in most cases.
You can also visit the Securities Transfer Association.
This is a private trade organization of transfer agents.
They provide general information about the functions of transfer agents., Call the transfer agent and ask for instructions on how to transfer the stock to direct registration.
The Direct Registration System (DRS) allows owners of stock certificates to hold their shares in book entry-form with the transfer agent instead of as a physical stock certificate.
Book-entry means that the transfer agent keeps a record of your ownership of the stock in its books.
This replaces the physical stock certificate.
Once you have done this, you can easily sell the stock at any time.DRS protects you from fraud and other risks associated with paper certificates.
It also saves you money because it eliminates the cost of storing, printing and insuring paper certificates.
You will have to mail the stock certificates to the transfer agent.
Send them via insured mail with tracking information., It will take the transfer agent approximately 10 days to transfer your paper stock to DRS.
Once this is complete, you can sell the shares at any time.
When you are ready to sell, contact the transfer agent and tell them to sell.DRS allows you to sell the stock quickly without the delays of handling the physical stock certificate, allowing you to take advantage of positive changes in the market.
About the Author
Joan Bishop
Committed to making lifestyle accessible and understandable for everyone.
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