Transfer Agent Law and Legal Definition

A transfer agent is a person or firm who assists in securities transactions. The transfer agent keeps a record of the name of each registered shareholder, the address and the number of shares they own. The transfer agent also makes sure that certificates presented to his office for transfer are properly canceled and new certificates are issued in the name of the new owner.

Transfer agents mayhandle the following matters, among others, on behalf of shareholders:

  • Change in certificate registration
  • Dividend Reinvestment Service
  • Change of mailing address
  • Lost or stolen certificates
  • Replacement of dividend checks
  • Direct deposit of dividends
  • Consolidation of multiple accounts
  • Elimination of duplicate report mailings
  • Replacement of Form 1099-DIV