Infographic : How to Replace Lost Stock Certificate

The infographic, “Lost Securities Bond: How to Replace the Lost Stock Certificate,” explains the process of replacing lost stock certificates. A Lost Stock Certificate Surety Bond is required by the issuing company through its transfer agent.

To replace a lost stock certificate, the shareholder must contact the company’s stock transfer agent. The contact information of the transfer agent can usually be found on the website of the company that issued the stock.

The shareholder must describe the loss and any facts surrounding the loss in an affidavit. The insurance company underwriting the lost stock certificate bond will require a copy of this affidavit. Then, the transfer agent will place what is called a “stop transfer” on the certificate to prevent others from cashing it in. This is much like the stop payment that you might place on a check at your local bank. The transfer agent or the broker-dealer will then notify the SEC of the lost or missing certificates.

The purpose of the bond is to protect the corporation and the agent in the event of loss. For more information, refer to the infographic below.

Lost Securities Bond How to Replace the Lost Stock Certificate

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