No reputable brokerage firm wants to deal with penny stocks, they are costly to trade and very expensive to handle. You can take a look at the Pink sheets - http://www.pinksheets.com/pink/quote/ind...
Find a brokerage firm that's indicating they may have some interest in the stock and see if they will open an account for you, if they do, you can send them the certificates with instructions to sell them,
Usually firms will want to see proof of ownership, but sometimes with penny stocks, proper procedures are not followed,
There will not be "the safest", "quickest" and/or "cheapest way" to dispose of your ownership, you may have to accept "a dollar for the lot" trade - which means a brokerage firm will pay you $1 for the entire lot that you are holding, but don't count on anything
LATIN TECHIE- Nice response but Rule 15(h) does not apply to this persons problem- I used this rule to get rid of all my potential customers who tried to open accounts in order to deal in penny stocks, I send them agreements, notices and a new account form for MLPFS hoping they would take the hint, if not they were charged a commission of $1 per share and the rep was charged a $50 clearing fee
Penny Stock Rules
The term "penny stock" generally refers to a security issued by a very small company that trades at less than $5 per share. Penny stocks generally are quoted over-the-counter, such as on the OTC Bulletin Board (which is a facility of FINRA) or OTC Link LLC (which is owned by OTC Markets Group, Inc., formerly known as Pink OTC Markets Inc.); penny stocks may, however, also trade on securities exchanges, including foreign securities exchanges. In addition, the definition of penny stock can include the securities of certain private companies with no active trading market.
Penny stocks may trade infrequently, which means that it may be difficult to sell penny stock shares once you own them. Moreover, because it may be difficult to find quotations for certain penny stocks, they may be difficult, or even impossible, to accurately price. For these, and other reasons, penny stocks are generally considered speculative investments. Consequently, investors in penny stocks should be prepared for the possibility that they may lose their whole investment (or an amount in excess of their investment if they purchased penny stocks on margin).
Because of the speculative nature of penny stocks, Congress prohibited broker-dealers from effecting transactions in penny stocks unless they comply with the requirements of Section 15(h) of the Securities Exchange Act of 1934 ("Exchange Act") and the rules thereunder. These SEC rules provide, among other things, that a broker-dealer must (1) approve the customer for the specific penny stock transaction and receive from the customer a written agreement to the transaction; (2) furnish the customer a disclosure document describing the risks of investing in penny stocks; (3) disclose to the customer the current market quotation, if any, for the penny stock; and (4) disclose to the customer the amount of compensation the firm and its broker will receive for the trade. In addition, after executing the sale, a broker-dealer must send to its customer monthly account statements showing the market value of each penny stock held in the customer's account.
google the company, click on investor relations, send them an email asking how to mail them in for a check.
Hello,
I have tens of thousands of shares on a physical (not electronic) penny stock certificate of a ticker that is trading currently at .30 and have no idea how I can deposit this and where. I don't think any major brokers such as Scottrade or Ameritrade deal with penny stock certificates, so does anyone think they can help me out with the safest, quickest, and/or cheapest way to cash in this certificate?
Thank you so much!
