An arrangement made with a financial institution to automatically transfer Assets to a Beneficiary after a death.
Typically, a deceased's physical belongings and other Assets are distributed to those who have been designated through a legal process known as Probate.
However, Pay-on-Death designated Assets avoid this process.
They include, but are not limited to:
- Life insurance policies
- Bank accounts, 401(k)s & IRAs
- Stocks, bonds & securities
- Property held jointly in Title with Survivorship Rights (real estate, vehicles, boats, etc)