If you’re donating stock to a nonprofit, you might come across something called a Medallion Signature Guarantee, especially if your generous gift is valued above a certain threshold. Here’s what that means and when you might need one!
What is a Medallion Signature Guarantee?
A Medallion Signature Guarantee is a special type of stamp that verifies your identity and confirms that you’re authorized to transfer securities like stocks. ⭐️
- 🛡️ It helps protect both you and the receiving nonprofit from potential fraud.
- ✅ Medallion Guarantees are only available through authorized financial institutions, such as banks, credit unions, or brokerage firms.
When Is It Required?
Most donors do not need a Medallion Signature Guarantee. However, some brokerages require it when the value of your stock donation is over a certain threshold. 📈
- ⚠️ Each financial institution sets its own policies, so requirements may vary.
💼 Brokerage 💰 Threshold (Approx.) Fidelity Investments $18,000 Merrill Lynch $50,000 Vanguard $1,000,000 - ✍🏽 You may be asked for a Medallion Signature Guarantee if:
- 💰 The total value of your stock gift exceeds your brokerage’s limit for online transfers;
- 📝 You are using a paper stock transfer form, instead of submitting your gift electronically; or
- 📃 You are transferring physical stock certificates
If you’re unsure whether your donation requires this step, we recommend checking with your brokerage firm, or contacting our Processing team at stockgifts@overflow.co. 📧
Where Can I Get One?
You can usually obtain a Medallion Signature Guarantee from:
- 🏦 Your bank or credit union (especially if you have an existing account)
- 💼 Your brokerage or investment firm
Because not all locations offer this service, it’s a good idea to call ahead and ask if an appointment is needed. 🗓️
Can I Bypass This Requirement?
In some cases, you can bypass the Medallion Signature Guarantee requirement by visiting your brokerage or investment firm in-person and initiating the transfer directly with them. This can save you time, expedite processing, and simplify the process! ⚡️
- 📍 You can find your nearest Fidelity Investor Center here.