3 Tips for Transferring Stocks

Transferring securities from one account to another can be an arduous process.  There are three main tips for making the process more efficient.  Follow this advice to make your stock transfer easier.

  1. Understand all the necessary paperwork.  Make sure you properly set up your new brokerage account.  Take care with adding owners to the account.  Make sure that SSN and names are accurate.  Also look through all paperwork to understand what is required to complete the transfer.  Most likely, the sending institution will require a medallion signature guarantee to complete the transfer.  Each owner of the account must get their signature guaranteed by an authorized agent to initiate the transfer.
  2. Communicate with both parties.  Contact customer service at both the sending institution as well as the receiving bank or brokerage house.  Ask for estimated processing times.  Keep records of past statements from the sending institution for use in tax preparation in the future.
  3. Stay on top of the timeline.  Ask both parties how long the process will take.  It is typical for a stock transfer to take several weeks.  This can vary depending on how quickly each party can complete paperwork.  The receiving institution cannot do anything until the sending institution initiates the process.  By staying in close contact with both institutions, you can encourage a smooth stock transfer process.