How to Cash in Stock Certificates After a Death in a Family

Old, worthless stock certificates may still hold value as collectibles.

These days, companies tend to issue stock certificates electronically. If you come across an old paper stock certificate among your deceased relative's possessions, the company that issued it may have since changed its name or undergone a merger. Locating the company may not be as simple as a quick Google search. If you have a stockbroker, ask him for help tracing the stock certificate's origins. Otherwise, avail yourself of your local library or a stock research company.

Things You'll Need

• Stock publications
• Transfer request form
• Copy of court appointment
• Affidavit of domicile

Instructions

1. Write down the name of the company for each stock certificate. Write down each stock certificate's Committee on Uniform Securities Identification Procedures number. The nine-character CUSIP number identifies the stock's issuer.

2. Contact a stock research company, such as Scripophily.com or Spink Smythe. For a fee, these companies research your stock certificate, determine its value and locate the company that issued it. The Securities and Exchange Commission has a list of stock research companies on its website.

3. Consult your local librarian. Ask if your library maintains publications of the "National Stock Summary," "Moody's Industrial Manual," "Moody's OTC Industrial Manual" or the "Robert D. Fisher Manual of Valuable and Worthless Securities." These manuals can help you trace your stock certificate.

4. Contact the company that issued the stock certificate once you have successfully traced its origins. Ask for the contact information of its transfer agent. The company may have this information on its website.

5. Contact the transfer agent and request that the stock certificate be transferred to your name. The exact procedure may vary from company to company. You may need to fill out a transfer request form. Send the transfer agent the stock certificate and a certified copy of the estate representative's court appointment. The transfer agent also may request a notarized affidavit of domicile for your deceased relative for the purposes of state taxes.

6. Contact a brokerage firm and set up an account. Sign the back of the reissued stock certificates and send them to the brokerage firm. After you sell the stock, the brokerage firm will deduct a commission and you will receive the balance of the funds.

References

• Securities and Exchange Commission: Stock and Bond Certificates, Old
• Securities and Exchange Commission: CUSIP Number
• MyWayForward: Banking
• Spink Smythe: Services
• Scripophily.com: Historic Stock and Bond Certificates From Around the World
• Registrar and Transfer Company: Guide to Share Transfer
• "USA Today"; Selling a Paper Stock Certificate Requires Some Work; Matt Krantz; May 21, 2009

Resources

• Bankrate.com; Old Stock Certificates -- Trash or Cash?; Don Taylor, Ph.D., CFA; August 2005