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In the United States and Canada, a medallion signature guarantee is a special signature guarantee for the transfer of securities. It is a guarantee by the transferring financial institution that the signature is genuine and the financial institution accepts liability for any forgery. Signature guarantees protect shareholders by preventing unauthorized transfers and possible investor losses.
Medallion Signature Guarantees. The Medallion Program is designed to prevent the unauthorized transfer of securities by making it harder for people to take your money by forging your signature on your security certificates or related documents. Documents are brought in and signed in front of a DCU representative.