A medallion signature (more formally, a Medallion Signature Guarantee , or MSG) is a special stamp or certification from a financial institution that confirms both the authenticity of a signature and the signer’s legal authority to transfer securities or investments, such as stocks, bonds, or brokerage‑account holdings.

What it actually means

  • It is not just a standard notary signature; it is a high‑level guarantee that your signature is genuine and that you have the right to sign the transfer document.
  • The bank or broker that provides the medallion stamp accepts financial responsibility if the signature later turns out to be fraudulent, which is why the process is stricter than a normal notarization.

When you usually need one

  • Transferring securities between accounts (for example, after changing jobs and moving a 401(k) or rollover IRA).
  • Gifting securities (transferring shares to a child, charity, or another person).
  • Estate‑related transfers , such as when an account owner dies and the estate or heir must move or sell the assets.

Medallion vs. notary: quick comparison

Feature| Medallion Signature Guarantee| Regular Notary Acknowledgment
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Used for| Securities transfers, brokerage/stock paperwork 56| Wills, deeds, general legal documents 39
Who provides it| Participating banks, brokers, credit unions in a Medallion‑program network 510| Any licensed notary public 3
Liability| Issuing institution financially backs the signature 910| No broad financial liability for the transaction itself 39

How to get one

  • Go to a bank or brokerage that participates in a Medallion program (not all banks offer this service).
  • Bring valid ID and the documents that need the medallion stamp; the institution will verify your identity and authority before pressing the medallion stamp on the transfer form.

In short, a medallion signature is a specialized financial “stamp of approval” that protects against fraud when high‑value securities are being moved or changed of ownership, and it’s commonly required in brokerage, estate, and retirement‑account transfers.

Information gathered from public forums or data available on the internet and portrayed here.