How long does it take to receive a check after you sell a stock?

Question

I have held shares in a particular stock but have not ever done anything with them. Now I want to sell them and am on a bit of a deadline. A clearing house (BNY Mellon) facilitates all the sales and cuts the checks. What is the average time it takes to actually receive a check after you sell your stock?

Answer 1

I don't know about BNY Mellon, but I have TD-Ameritrade, and it takes about 2 business days for the stock sale to appear in the TD-Ameritrade cash account, and then another 2 business days to wire it to my checking account.  (Or you can skip that step because there is a way to write a check directly from your TD-Ameritrade cash account)

Answer 2

If you are holding a stock certificate this will take quite some time - maybe few weeks. You will need to have it signed and medallion stamped, deposit the certificate, the transfer agent must verify the certificate and you own it.

If you are holding a stock in a brokerage account you can get a check cut to you in T+3 (trade day plus 3 business days, then a check is issued).

Answer 3

All broker/dealers are subject to the same rules and regulations.

When there is stock trade (transaction) this is called the trade date, all stock transactions settle three business days following the trade date.  This is the settlement date.

You sale proceeds are posted to your account on the settlement date.   If the stock you sold was in your account, or you delivered it to your account, the monies are due you on the settlement date.

Depending on how your account was established as to what to do with your sales proceeds, the brokerage firm will follow your instructions.  So if your instructions were to remit proceeds, a check will be sent to the address that is showing on the account, or the payee address.

You can call you broker, place the order, if you have to deliver the stock to the firm they will tell you exactly where to mail it and how to endorse the certificate.

good luck