What is a pod account?

A POD account is very similar to a transfer-on-death (TOD) arrangement but deals with a person’s bank assets instead of their stocks, bonds, mutual funds, or other investment assets. Both POD and TOD agreements offer quick means of dispersing assets, as both avoid the probate process, which can take several months.

What are the benefits of using a pod account?

There are several benefits associated with using POD accounts to transfer assets. First, assets that are passed to someone else through a POD account are not subject to probate.

Can I set up pod beneficiaries on different types of financial accounts?

You can set up POD beneficiaries on the following types of financial accounts: These accounts can be co-owned, but only the owner of the account can designate POD beneficiaries. While setting up a POD account may be the right choice in some circumstances, it isn’t always the best option. Consider the following pros and cons.