What is a Payable on Death Account (POD)
What is a Payable on Death Account (POD)?
A Payable on Death Account (POD) is an arrangement with your bank to designate a beneficiary on your bank account. After the death of the bank account owner, the beneficiary can succeed to the funds in the account by completing an Affidavit (provided by the bank) and showing his/her identification, e.g. a passport or driver's license to the bank.
The Payable on Death Account (POD) is sometimes referred to as a "Totten Trust" or "ITF" (short for "In Trust for").
A Payable on Death Account (POD) helps avoid probate
By designating a beneficiary on one's bank account during his/her lifetime, the owner can avoid probate when he/she dies, as the bank will be able to cut a check to the beneficiary for the funds in the owner's bank account without the account having to go through the court probate process.
The Payable on Death Account (POD) can provide an easy way for avoiding the probate process.Article Source/Courtesy of: Yuka Hongo, Esq. (Hongo Law Office, LLLC)
This information is not intended to be a substitute for specific individualized tax, legal or estate planning advice as individual situations will vary. HawaiiEstateAndTrust.com nor its registered representatives or employees, offer tax or legal advice. As with all matters of a tax or legal nature, you should consult with your tax or legal counsel for advice.
Back to the top
Questions? Ready for an appointment?
- RELATED LINKS
Learn about us and Hawaii trust and estate fiduciary services we offer. More...
Recent Hawaii estate and trust fiduciary services news that might interest you. More...
- Services & Solutions
Check out Hawaii estate and trust fiduciary services and solutions to see what best fits your needs and budget. More...
- Tips & Resources
Great tips and resources on Hawaii estate and trust fiduciary services. More...
- Request More Info
Click here to request a more info on Hawaii estate and trust fiduciary services. More...
- Frequently Asked Questions
Find the answer to commonly ask questions related to Hawaii estate and trust fiduciary services. More...
- Fees Rates & Cost
View latest going prices, rates and cost for Hawaii estate and trust fiduciary services. More...