California lost stock certificate surety bond is needed if you lose your stock certificate. For the majority of stocks, you still own your shares even without the paper certificate. Follow the steps below to get your certificate replaced.
First, you must notify the transfer agent of the loss. The transfer agent will place a “stop transfer” on the certificate. This is to prevent others from cashing it in. The transfer agent or the broker-dealer will then notify the SEC of the lost or missing certificates.
To replace your lost stock certificate, a “lost instrument bond” for a stock certificate is required by the issuing company. This bond is a third-party guarantee against financial loss for the company. Learn more about what the bond does and why it’s required.
California residents can apply here, utilizing our easy to navigate, online application. The application takes only a couple of minutes to complete and is free to apply and receive a no obligation quote. Surety1 can usually save you money from what the transfer agent charges for the bond and we offer an online application.
A California lost stock certificate surety bond is an open penalty obligation. this means that the bond amount changes as the value of the stock changes. That said, the premium is a one time only payment and is based on the value of the stock at the time the transfer agency placed a stop on the securities.
Surety Solutions Insurance Services, Inc. (Surety1) represents over a dozen “A” rated surety companies and is located in the Sacramento area of California. The company maintains an A+ rating by the Better Business Bureau and has been a California surety bond agency since 2003. All we do are surety bonds.