TreasuryDirect Account Authorization

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ThinkingRunner
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Joined: Mon Sep 28, 2009 11:11 am

TreasuryDirect Account Authorization

Post by ThinkingRunner » Thu Jan 12, 2012 9:04 am

I just tried signing up for a TreasuryDirect account for the first time. For some reason, they could "not verify" my information and sent me the following e-mail:
Thanks again for opening a TreasuryDirect account. We are having difficulty verifying the information you provided when opening your account. For your protection, please complete the Account Authorization form https://www.treasurydirect.gov/pdf/rs/acctauth.pdf and mail it to TreasuryDirect, P.o. Box 7015, Parkersburg, WV 26106-7015. A hold has been placed on your account that will prevent you from accessing your account. After we receive and approve the Account Authorization form, the hold on your account will be removed.
The account authorization form PD F 5444 E linked above requires "the seal of a financial institution" (notary public certification is not acceptable). What's the easiest way to get an acceptable attestation? Do I just walk into a bank branch with valid identification and ask them to place their seal on this form? Any guidance is appreciated.

Thanks,
ThinkingRunner

livesoft
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Re: TreasuryDirect Account Authorization

Post by livesoft » Thu Jan 12, 2012 9:23 am

I love the security at TreasuryDirect. They even now lock out folks who don't even have an account with them. That's very forward thinking.

I'd call them up and ask them to explain this to you.

Anyways, you will not be able to "just walk into" any branch bank. You will likely need to go into a bank that you have been using for several years.
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sscritic
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Re: TreasuryDirect Account Authorization

Post by sscritic » Thu Jan 12, 2012 9:27 am

They probably want you to get a Medallion Signature Guarantee:
Securities Transfer Agents Medallion Program (STAMP) whose participants include more than 7,000 U.S. and Canadian financial institutions.
Stock Exchanges Medallion Program (SEMP) whose participants include the regional stock exchange member firms, and clearing and trust companies.
New York Stock Exchange Medallion Signature Program (MSP) whose participants include NYSE member firms.
http://www.sec.gov/answers/sigguar.htm
Acceptable certifications include the financial institution’s official seal or stamp (such as corporate seal,
signature guaranteed stamp, or medallion stamp).
It looks like the corporate seal would work as well.

I would expect it would be easier to do at a location where you have an account. I have never tried it where I didn't have an account. Maybe one of the big "internet banking is wonderful" fans can tell you about not having a brick and mortar location.

Do you think Vanguard can do it for you at their local office? :)

Vanguard even has instructions (they require signature guarantees as well).
Instructions to obtain Signature/Medallion Guarantee

ThinkingRunner
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Re: TreasuryDirect Account Authorization

Post by ThinkingRunner » Thu Jan 12, 2012 9:47 am

Thank you for your responses. I've had a BofA account for nearly 10 years, so I'll try walking into my local branch to see what they can do about this. I've got documents notarized for no cost at my branch earlier, but it looks like corporate seals and medallion signatures are a different beast. I'll post back in this thread with my experience.

sscritic
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Re: TreasuryDirect Account Authorization

Post by sscritic » Thu Jan 12, 2012 9:54 am

I know people hate on BofA, but it's my bank too; you should have no trouble getting a signature guarantee. I don't think a regular teller can issue one, but an assistant manger probably can. I have never had a problem.

CollegeBaseball
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Re: TreasuryDirect Account Authorization

Post by CollegeBaseball » Thu Jan 12, 2012 9:54 am

ThinkingRunner wrote:Thank you for your responses. I've had a BofA account for nearly 10 years, so I'll try walking into my local branch to see what they can do about this. I've got documents notarized for no cost at my branch earlier, but it looks like corporate seals and medallion signatures are a different beast. I'll post back in this thread with my experience.
I had the exact same problem when I created my TD Account...I went to my local Chase, only been a customer for about two years, showed them the form and they filled it out in about three minutes...BofA shouldn't hassle you, it is probably common by now.

Best of luck, CB

sscritic
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Re: TreasuryDirect Account Authorization

Post by sscritic » Thu Jan 12, 2012 9:59 am

Remember the original purpose of the Medallion Signature Guarantee program; the safe transfer of stocks and other assets. That's been going on for a long time, well before there was treasurydirect.
If you hold securities in physical certificate form and want to transfer or sell them, you will need to sign the certificates or securities powers. You will probably need to get your signature "guaranteed" before a transfer agent will accept the transaction. Although it's an inconvenience to get your signature guaranteed, the process protects you by making it harder for people to take your money by forging your signature on your securities certificates or related documents. Transfer agents insist on signature guarantees because they limit their liability and losses if a signature turns out to be forged.
In other words, there is nothing new about it.

ThinkingRunner
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Re: TreasuryDirect Account Authorization

Post by ThinkingRunner » Thu Jan 12, 2012 10:06 am

sscritic wrote:Remember the original purpose of the Medallion Signature Guarantee program; the safe transfer of stocks and other assets. That's been going on for a long time, well before there was treasurydirect.
If you hold securities in physical certificate form and want to transfer or sell them, you will need to sign the certificates or securities powers. You will probably need to get your signature "guaranteed" before a transfer agent will accept the transaction. Although it's an inconvenience to get your signature guaranteed, the process protects you by making it harder for people to take your money by forging your signature on your securities certificates or related documents. Transfer agents insist on signature guarantees because they limit their liability and losses if a signature turns out to be forged.
In other words, there is nothing new about it.
If TD needs a medallion signature to simply *open* an account, I wonder what sort of guarantees they might need if you actually try to buy and sell securities within your account!

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Rager1
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Re: TreasuryDirect Account Authorization

Post by Rager1 » Thu Jan 12, 2012 10:42 am

ThinkingRunner wrote:
sscritic wrote:Remember the original purpose of the Medallion Signature Guarantee program; the safe transfer of stocks and other assets. That's been going on for a long time, well before there was treasurydirect.
If you hold securities in physical certificate form and want to transfer or sell them, you will need to sign the certificates or securities powers. You will probably need to get your signature "guaranteed" before a transfer agent will accept the transaction. Although it's an inconvenience to get your signature guaranteed, the process protects you by making it harder for people to take your money by forging your signature on your securities certificates or related documents. Transfer agents insist on signature guarantees because they limit their liability and losses if a signature turns out to be forged.
In other words, there is nothing new about it.
If TD needs a medallion signature to simply *open* an account, I wonder what sort of guarantees they might need if you actually try to buy and sell securities within your account!
We've had TD accounts for several years, now. I keep reading here about people who've had problems logging on, etc., but we've never had any type of problem with TD. When we were opening TD accounts in our Trust names, they asked us to provide Medallion signatures to verify that we were who we said we were. We simply took the paperwork to our local bank where we maintain a small account for these type purposes, had them certified, and mailed the paperwork to TD.

Ed

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NAVigator
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Re: TreasuryDirect Account Authorization

Post by NAVigator » Thu Jan 12, 2012 11:41 am

I take this experience as an example of the diligence and security on the part of TD. Like the OP said, they could not verify the account given by the applicant. What would people want them to do, open an account linked to an unverified account at a credit union or bank? I would hope not.

The same applies to other reports of how difficult TD accounts are when the person tries to access their account but with the wrong password or by answering the security questions incorrectly. Again, I am comforted by the security steps in place at TD. What would you expect them to do?

I have never had any difficulty with my TD account. I already bought $5k and then they raised the limit to $10k, so I will buy more soon.

Jerry
"I was born with nothing and I have most of it left."

shreyasfifa
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Re: TreasuryDirect Account Authorization

Post by shreyasfifa » Wed Jan 17, 2018 4:02 pm

sscritic wrote:
Thu Jan 12, 2012 9:27 am
Maybe one of the big "internet banking is wonderful" fans can tell you about not having a brick and mortar location.

LOL! I got the same notification today and I'm going to a BoFA branch as the CU I bank with is 500 miles away.

Fclevz
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Re: TreasuryDirect Account Authorization

Post by Fclevz » Wed Jan 17, 2018 4:14 pm

If you already have a Fidelity, Schwab, Vanguard, etc. brokerage account, new auction treasuries are no commission (and no hassle).

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Ice-9
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Re: TreasuryDirect Account Authorization

Post by Ice-9 » Wed Jan 17, 2018 5:50 pm

shreyasfifa wrote:
Wed Jan 17, 2018 4:02 pm
sscritic wrote:
Thu Jan 12, 2012 9:27 am
Maybe one of the big "internet banking is wonderful" fans can tell you about not having a brick and mortar location.

LOL! I got the same notification today and I'm going to a BoFA branch as the CU I bank with is 500 miles away.
I am one of those "internet banking is wonderful" fans, but I've always kept a no-fee brick and mortar bank too for reasons such as this. Also, depositing cash.

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